posted 10.28 a.m. est
See yesterday’as highlighted comments. On Thursday ES tested the VAL at 1995.50 and subsequently printed as high as 2020. Time spent between 2000 and 2020 may migrate the 4mn poc lower. For the long side I am waiting for Effective Buying to be marked above the poc which is currently at 2033.50. Breadth numbers are not yet supportive.
First Level Resistance = 2033.50 (4mn poc)
Major Support = 1962.00 (6mn poc) and SPY 200.11 (8mn poc)
Stocks>50dyma numbers: Nyse 47% (from 41%), Nasdaq 45% (from 38%), R2000 47% (from 40%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 11.21. In early December the ratio reached 13.73, the highest in the database.
Supporting Charts:
Bonds TLT: recently exceeded the 2012 high and in early in today’s session has printed a new high.
Dollar Index: last week printed its highest level since 2003 and near to that high today.
Gold GLD: has rallied strongly this month and last week probed the Resistance at 124.12, the major poc, but has turned down from level.
Oil USO: on 12/12 broke below the extreme low of Feb 2009 and on Wednesday printed a new low.
EURUSD: has been declining since May last year and has reached major 1/2R Support at 1.1241. Currently holding that level.
