emini futures analysis 6th February 2018 – pre-open from Chartprofit
See yesterday’s comments. Folllowing Friday’s Aggressive Selling (the first in thirty days) Monday’s session saw a sharp sell-off and a lower, wider, Value Area was generated with Aggressive Selling marked again. The potential Support at 2688 was broken and this level is now First Level Resistance. Overnight ES printed as low as 2529, breaking further Support at 2581. Forty minutes pre-open ES prints very close to that level which could be intraday Support or Resistance today and worth monitoring.
Resistance = 2688.00 (3mn poc)
Support/Resistance ? = 2581.00 (5mn poc)
Stocks>50dyma numbers: Nyse 23% (from 45%), Nasdaq 26% (from 49%), R2000 20% (from 39%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio reached 27.55 on 01/30, the highest ratio in the database. Yesterday saw a large sell-off but the ratio was actually up, at 27.24, and close to that high. Usually, not bullish in the ST.
Bonds: TLT – on Monday the chart tested, but has not yet broken, the major Support at 119.00 (maj poc).
Dollar Index: in early July chart broke below 95.50, the major poc = weak LT price location. 12/28 broke below the 1/2R Support off the Sep low and then broke the September low. On 01/26 the index printed its lowest level since December 2014. There is Support at 87.25 which is the 1/2R off 2008 low. Has today printed an eight day high.
Gold – GLD: The major poc recently migrated back up to 121.00 – the chart has rallied strongly from there and on 01/25 printed its highest level since August 2016.
Oil: USO – 01/25 chart reached its highest level since November 2015. Closed at an eleven day low on Monday.
GBPUSD: 01/25 reached its highest level (1.4344) since June 2016. Is off from there this week and printing a twelve day low today.
EURUSD: in December chart tested the 1 year poc Support at 1.1755 and held. 01/25 printed its highest level since December 2014. Off a little today – there is Support at 1.2264, the 2mn poc.
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. On 01/26 chart printed its lowest level since September.
