emini futures 1st November 2018 – pre-open from Chartprofit
Please see Tuesday’s highlighted comments. Wednesday’s Value Area was printed almost entirely above 2718, the major poc, however there was a late sell-off to close the session at that level. Time above 2718 is a first sign of strength. Pre-open today ES is printing close to that level.
ETFs: Major Levels. SPY = 271.7, IWM = 153.5.
Stocks>50dyma numbers: Nyse 18% (from 19%), Nasdaq 18% (from 16%), R2000 16% (unch). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was almost unchanged (again) at 13.58. That’s up from the ratio on 10/22 which was 8.68 and the lowest ratio in more than a year. The peak reading is 27.55 recorded 09/07 which equalled the highest ratio in the database.
Bonds: TLT – declined sharply since breaking below 121.00, the major poc, at the start of September. Reached its lowest level since Sep 2014, earlier this month.
Dollar Index: On Tue/Wed it probed above the August high (its highest level since June 2017). This was rejected and DXY is sharply lower today. The major poc is at 94.80 and chart printed a higher low at that Support earlier in the month.
Gold: GLD – The major poc is at 121.00 and this Support was broken 06/19. Chart remains in a LT weak position but has rallied recently. It is possible the poc could migrate lower with time – I am monitoring that.
Oil: USO – As long as chart holds above 12.79, the 12mn Support, it is in a LT strong price location. USO has retraced from the 10/03 high and we need to watch for that poc migrating higher.
GBPUSD: has rallied strongly today but is still in a weak LT location. First Resistance is 1.2978, the minor 1/2R off the August low, the next is the 1.3200, the major poc.
EURUSD: has also rallied today. On 08/15 the chart printed its lowest level since July 2017. There was a rally back from there to probe 1.1755, the 1year poc Resistance. This was rejected and the chart declined from there to approach the August low this week. It remains in a weak price location.
USDJPY: the major poc is at 111.30. Chart is printing above that level and may be forming a higher low at that poc.
