S&P 500 emini pre-open Friday 27th June

posted 09.19 a.m. est

Dayframe: Reactive Buying (green-at-bottom) was marked again on Thursday but notice that First Level Resistance at 1949 halted the rally (see yesterday’s comments) and Thursday’s Value Area was generated entirely below this level. Effective Selling marked below 1949 would be a sign of ST weakness. I would want to see ES overcoming this Resistance before considering new long trades.

Dollar Index and Bonds (TLT) have held LT strong price location which is a LT concern for equities, see below. See also Sentiment, below.

Momentum (although positive) is down for all four major Stock Index ETFs. In the LT bulls would want to see 114.00 (1/2R) on the IWM chart hold.

ES First Level Resistance = 1949.00 (60dy poc)
ES LT Support = 1872.00 (maj poc)

Stocks>50dyma numbers: Nyse 72% (from 74%), Nasdaq 65% (from 66%), R2000 67% (from 68%). Numbers >50 are considered supportive.

Sentiment: My version of the Rydex Assets Ratio was higher at 10.07 which is the highest in my database.

Financial Sector XLF: printing above 22.04, its Major 1/2R level.
EURJPY: chart is printing below 140.96, the 1/2R off Dec high in a weak price location.
Bonds TLT: Remains in a strong LT price location. Momentum (although negative) is up.
Dollar Index: Holds a strong price location above 79.76, the maj poc but Momentum has turned negative.
Gold GLD: On 06/19 Gold posted its biggest one day jump in nine months and GLD now prints in a strong/stronger price location above 124.12, the 2yr poc. Consolidation above this level this level would be a sign of further strength.
Oil USO: printing above 37.96 in a strong price location and approaches the September high at 39.54.
EURUSD: last week the 12mn poc moved lower to 1.3532 and currently chart is holding that Support.