pre-open comment Monday 13th May
Longframe: Chartprofit Market Timing System is positive for all major Market Charts. SPY closed on Friday above Mon-Wed Hi-Lo range which indicates Active, Effective Buying on the weekly timeframe. Active Sellers have not been marked on this timeframe during 2013.
Last week I marked Significant Buying twice and no Significant Selling. So far at least, the higher price range has not attracted a Significant Response from the Sellers.
%Stocks>50dyma numbers: Nyse 77% Nasdaq 65% R2000 68% UK 75%. Numbers >50 are considered supportive.
Dayframe: 1626 is the minor (12day) poc. Where ES prints relative to that level at the start of this week is the best reference re ST strong/weak price location.
First Level Support = ES 1581 (30dy poc)
Sentiment: My version of the Rydex Assets Ratio finished the week at 4.62. Ratio reached a low of 3.22 on 4th Jan and a high of 5.22 on 13th Feb.
Supporting Charts (+ or – or ? for equities).
+ Bonds TLT: Has turned down from 123.42, the 1/2R off last July’s high. Momentum turned negative. There is Support at 117.15, the major poc.
? Oil USO: printing very close to the important Resistance around 34.20. Time printed above this level would put the chart back into a strong price location. Momentum has turned positive.
? Gold GLD: Fell steeply last month to its lowest level for two years. Momentum has turned positive.
– Silver SLV: Has been weak since it double-failed at its maj poc in January and last month printed its lowest level since October 2010. Momentum has turned positive.
– Dollar Index: Back in a strong price location above 82.75, the 2month poc.
– EURUSD: Met Resistance last week at 1.3228 (1/2R off February high) and is now printing back below 1.3070, the 24mn poc.
Bonds look positive for equities. Dollar looks negative for equities. Mixed for now.
