S&P 500 emini pre-open Monday 17th August
Last week saw a rejected test of 2047.50, the eight month Value Area low (dashed line). However, the last four daily Value Areas have been printed below the 2095.00 poc and I need to see time printed above that level before anticipating any further strength. More time printed below 2095 is a negative, especially if it causes that controlling price to migrate lower. Time around 2070/75 would be of particular concern.
Second Level Resistance = 2095.00 (poc)
Support/Resistance today = 2080.25 (1/2R)
Momentum (PriceOsc) is negative for all four Stock Index ETFS. This needs to improve, as does breadth, see below.
All CP Major Market Charts remain negative
Stocks>50dyma numbers: Nyse 41%, Nasdaq 34%, R2000 37%, UK 45%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 9.46. The ratio fell as low as 8.67 on 07/14 which was an eight month low
Supporting Charts:
Bonds TLT: Last week printed its highest level since April. Momentum (PriceOsc) is still positive but has turned lower. There is Resistance at 126.69, the 1/2R off this year’s high.
Dollar Index: currently printing at 96.76, the 1/2R off March high. Price printing time above this level would be stronger location.
Gold GLD: Long term charts for Gold indicate major Support at the July price low. “If” this is broken Gold (and GLD) would be in a very weak price location.
Oil USO: closed the week at a new low.
EURUSD: is today printing above 1.0961, the 1/2R off March low in a stronger ST price location but there is Resistance at 1.1241, major 1/2R.
