From pre-RTH yesterday “New longs are eliminated for me until Significant Buying (green) is marked again or ES prints a Value Area back above the 4672.50 Control.”
On Wednesday an early rally faded quickly to new lows for this move. Today I’m watching price relative to 4536, which is now the v minor control. Below that level (where ES is printing pre-RTH) is a weak position on the minor time-frame. First sign of strength today would be time printed above that level.
Sentiment: My version of the Rydex Assets Ratio was lower at 47.17. Down from 58.15 reached early last week, the highest ratio ever. The Bull fund assets that I track reached the highest level ever and Bear fund assets, the lowest. Massive retail enthusiasm at that point and therefore potentially weak holders which could be a problem if further weakness develops.
