Sharp sell-off last Thursday. Friday bounced back but generated a lower Value Area. Tuesday’s VA was lower again and was generated below the 3370.50 Support, see yesterday’s highlighted comments on chart. Bulls would want to see 3370.50 recovered quickly – that level has been probed pre-open.
Stocks>50dyma Nyse 51% (from 64%), Nasdaq 40% (from 53%), R2000 43% (from 57%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 12.62. On 09/01 the ratio reached 14.37, 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.
Key charts
FTSE 100: has re-tested the major Support at 5870 this week but it has held so far.
DAX: the 4yr is at 12240. DAX tested that Support in Late July and rallied.
