emini futures 7th November 2018 – pre-open from Chartprofit
Please read previous highlighted comments. The market rallied last week following a test of the 12mn VAL (2605). Value Areas on Mon and Tue were generated above 2718, the maj poc, and on Tuesday Aggressive Buying (green-at-top) was marked above that level. The 2mn poc at 2761.50 capped yesterday’s session at the high but pre-open today ES is printing above that poc which is now First Level Support. The major poc at 2718 is now the important LT Support. Bulls would want to see that level hold any retracement from here.
ETFs: Major Levels (now Support) SPY = 271.7, IWM = 153.5.
Stocks>50dyma numbers: Nyse 32% (from 27%), Nasdaq 29% (from 26%), R2000 28% (from 24%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 9.84. Up from Monday’s 8.15, 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. On Friday, broke lower and printed its lowest level since Jul 2014.
Dollar Index: Midweek, last week, DXY probed above the August high (its highest level since June 2017). This was rejected and DXY fell sharply. The major poc is at 94.80 and chart printed a higher low at that Support earlier in the month. Has printed a twelve day low today.
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. We need to watch for that poc migrating higher. USO has retraced from the 10/03 high and on Tuesday printed its lowest level since June.
GBPUSD: has rallied strongly over the last few days but is still in a weak LT location. There is minor Support at 1.2978, the minor 1/2R off the August low, and major Resistance at 1.3200, the major poc.
EURUSD: 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. Chart remains in a weak LT price location.
USDJPY: the major poc is at 111.30. Chart is printing above that level and looks to have formed a higher low at that poc.
