posted 09.23 a.m. est
Pre-open comment Friday 7th March
Longframe.: First sign of weakness in the LT would be Effective Selling marked below 1835.50. Breadth is supportive, see below, and Key Charts imply equity strength, see below. No Significant Selling marked now for nine days.
Dayframe: Pre-open today ES has printed as high as 1887.50. The v min (6dy) poc at 1872 may be a useful intraday level to monitor if Sellers Respond to a higher Open.
First Level Support = 1835.50 (6mn poc)
Second Level Support = 1792.00
Stocks>50dyma numbers: Nyse 75% (from 72%), Nasdaq 69% (unch), R2000 71% (from 70%). Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 7.82. This is the highest in my database indicating that the Rydex traders are extremely bullish. Historically this has been a warning for the market.
Supporting Charts (+ or – shown as implied bias for equities)
+ KEY Chart Financial Sector XLF: is printing above its maj 1/2R level (22.04).
+ KEY Chart EURJPY: printing above 140.96, the 1/2R off Dec high, in a strong price location.
+ KEY Chart Bonds TLT: pre-open today is printing below 106.34 (10mn poc) in a weaker price location.
Dollar Index: has today broken below 79.76, the maj poc, which is weak price location.
Gold GLD: pre-open today is holding its strong price location above 127.20, the 18mn poc. Silver (SLV) is in a weaker price location below 21.02 (2yr poc).
Oil USO: Down sharply on Wednesday but holding the 1/2R Support at 36.11. Momentum, although positive, is down.
EURUSD: Currently holding above 1.367, the 12mn poc, in a strong price location.
