emini future 5th March 2018 – pre-open from Chartprofit
Friday’s session generated a Value Area below 2686, the 3mn poc, see previous, highlighted, comments. This is weak location and Bulls would want to see the March contract printing above that level, and improvement in the Pulse chart – currently the Breadth section is negative.
Resistance = 2718.00 (1mn)
Support/Resistance = 2686.00 (3mn) Support = 2581.00 (6mn)
Stocks>50dyma numbers: Nyse 26% (from 22%), Nasdaq 41% (from 34%), R2000 34% (from 26%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 22.0. The Ratio fell to 10.94 on 02/15, a four month low. The Ratio reached 27.55 on 01/30, the highest in the database.
Bonds: TLT – 02/07 TLT broke below 119.00, the maj poc, and has been printing below that level. Bond Sentiment is very bearish at the moment which may set up a contrarian bullish stance but risk of further declines remains high if TLT is below 119.00. Looking for time above that price.
Dollar Index: 12/28 broke below the 1/2R Support off the Sep low and then broke the September low. There is Support at 87.25 which is the 1/2R off 2008 low.
Gold – GLD: The 2mn poc is at 126.60. Price relative to that level is important to monitor.
Oil: USO – 01/25 chart reached its highest level since November 2015 but fell from there with the equity sell-off. Remains in a strong LT price location above 11.41, the maj poc but last week a probe above 12.78, the 3mn poc was rejected.
GBPUSD: The 2mn poc is at 1.3955, and currently the chart prints below that level in a ST weaker position.
EURUSD: broke back above 1.2264, the 2mn poc, on Friday. Strong price location if it holds that level.
USDJPY: two failed probes into the 113.70 maj poc Resistance in December and has been printing below 111.30, the 2yr poc, in a weak price location since then. Earlier in the month the chart broke below the 1/2R off the 2016 low which further weakened the price location and on Friday printed its lowest level since Nov 2016.
