Early in Tuesday’s session there was a rejected test of the 3370.50 Support. ES rallied strongly from there. Significant Buyers are still responding to minor opportunities and until that dynamic changes I assume they remain in control.
Key charts
FTSE 100: recent multiple rejections in June/July at 6312 (1/2R Resistance off last year’s high). This indicated weakness and FTSE sold off to test the major Support at 5870 in late July – that has held so far.
DAX: the 4yr is at 12240. DAX tsted that Support in Late July and rallied.
Sentiment: My version of the Rydex Assets Ratio was slightly lower at 13.09. Monday’s ratio at 13.73 was the highest since early March. The ratio fell to 3.35 on 03/17, the lowest since early 2016. The ratio reached 28.62 on 12/27, the highest reading in my database.
Stocks>50dyma Nyse 73% (from 76%), Nasdaq 69% (from 74%), R2000 70% (from 76%). Numbers >50 are supportive.
