Pre-open Friday 11th June
Significant Buying was marked on Thursday but Value Area was overlapping/higher and narrower so this was not Effective Buying. There was a probe above the 1082 poc late in the day but pre-open today ES has suffered another set back, printing down to 1075. Effective Buying marked above 1082 would put Buyers in control of the dayframe but Sellers still have it for now.
Dayframe:
First Level S/R today is the 1082 poc.
Second Level Resistance is the Major 1094 poc.
LT Sentiment: AAII (public) Bulls came in at at 34.5% and Bears at 43.1%. This gives a nett of -8.6, up from -21.1 recorded w/e 28th May which was the lowest net for six months.
amgdata.com reported net Equity Fund outflow of -$2.8 Bil which brings the 4wk flow to -$21.1 Bill, the lowest since the March 2009 market low.
ST Sentiment: My version of the Rydex Assets Ratio unchanged 1.3.
Supporting Charts (technicals based on daily Price Oscillator)
? USDJPY: prints above the poc which migrated up slightly to 90.21.
– EURUSD: new four year low on Monday and prints below major support but Price Osc is positively diverging with price.
? UDX: needs to print back above 87.84 to remain bearish for equities short term otherwise it is likely to fall back to the support at 85.14. Price Osc is negatively diverging with price and has just turned down.
– as long as TLT holds above the 95.22 poc it is in a strong position.
these charts are mixed but imo remain bearish for equities for now.
