Thursday’s RTH close was below 4318.50, the low of Friday’s Buying Day, (dashed). Mechanically that meant I needed to see Significant Buying (green) marked again before I could look at new longs again. On Friday ES recovered strongly and Significant Buying was marked. A Value Area was generated entirely above 4340 (1mn poc) and ES is in a strong position if it prints above that level.
Sentiment: On Thursday, my version of the Rydex Assets Ratio reached 34.73, the highest ratio recorded, indicating extremely hot sentiment.
Stocks>50dyma
Nyse 43% (from 37%), Nasdaq 46% (unch), R2000 41% (from 37%). Numbers >50 are supportive
