The 3mn controlling price migrated higher to 3672 early last week. We then saw three Value Areas printed entirely above that level which was an indication of strength, see Thursday’s highlighted comments. Monday’s VA gapped higher and Tuesday’s VA consolidated in the same area of price. Sentiment measures are pushing into extreme bullish readings. Price back below 3700 from would be a negative in the ST I think. In the longer term, ES was having a problem printing convincingly above 3700 but there was no evidence that Sellers had taken control. That would happen if we saw Significant Selling (red) being marked below 3672. See comments on 12/23.
Sentiment: My version of the Rydex Assets Ratio reached 21.00 on Tuesday, the highest ratio since late Feb.
Stocks>50dyma Nyse 79% (from 82%), Nasdaq 85% (from 86%), R2000 83% (from 87%). Numbers >50 are supportive.
