emini analysis 11th January 2017 – pre-open from Chartprofit
Early in Tuesday’s session the First Level Support at 2259.00 was tested, see chart. ES rallied from there but faded to the close. ES has stalled here – last five days printing Value Areas between 2257-2277. The Support at 2259.00 has held butt thirty minutes pre-open today ES is printing close to that level again. I suggested last week that 2259 could attract more time but bulls would not want to see Significant Selling marked below that level.
A positive would be Momentum (PriceOsc) on the SPY chart turning higher – this indicator has now dipped into negative territory and heading lower see Pulse Chart. although Momentum on the IWM chart ticked higher on Tuesday.
First Level Support/Resistance today = 2259.00 (3 month poc)
Second Level Support = 2159.50 (6month poc)
Sentiment: My version of the Rydex Assets Ratio was higher at 7,54. Monday’s ratio at 6.26 was an eighteen day low. The Ratio has fallen a lot since it reached 11.83 on 01/03, the highest ratio since June 2015. Bull fund assets have been falling for nine days while Bear fund assets remained pretty much unchanged – but Bear fund assets increased sharply on Friday and Monday.
Stocks>50dyma numbers: Nyse 74% (from 72%), Nasdaq 73% (from 69%), R2000 76% (from 71%). Numbers >50 are supportive.
Supporting Charts
Bonds: TLT – On 12/14 TLT printed its lowest level since July 2015 but has so far held the major poc Support at 117.15 and on Thursday printed a twenty five day high.
Dollar Index: On 01/03 the index printed its highest level since April 2003.
Gold: 11/23 GLD broke below 115.69, the 1/2R off last year’s low which put the chart in a weak price location. On 12/15 chart printed its lowest level since last January but has rallied from that low.
Oil: USO – since the start of December USO has been printing above 10.78, the maj poc. Chart must hold this Support to remain in a strong price location.
EURUSD: in early October chart broke below 1.1165, the 4yr poc, and has been in a weak price location since then. On 01/03 printed its lowest level since early 2003.
click graphic to enlarge
