S&P 500 emini pre-open Monday 17th November

posted 09.24 a.m. est

Significant Sellers (not marked since the mid-October low) were offered opportunity all last week (by Buyers) which they did not take. If they are not marked soon Buyers will auction ES higher to look for them. On Friday the 35dy poc migrated to 2034.50. This is also the 1/2R of last week’s Range (which was very narrow – basis SPX). This is First Level Support/Resistance at the start of this week and will provide a clue re ST direction. Look for a possible fast rejection of this level intraday.

Note that Momentum (PriceOsc), although positive, is now down for all four major stock index ETFs and see Sentiment, below.

ES First Level S/R = 2034.500 (min poc)
ES Second Level Support = 1962.00 (6mn poc)

Breadth: CP Market Timing System remained neutral for Nyse and R2000, remained positive for Nasdaq and turned positive for U.K.
Stocks>50dyma numbers: Nyse 68%, Nasdaq 63%), R2000 70%, U.K. 65%. Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio ended the week at 10.96 which is the highest ratio in the database. Historically this has been a warning for the market.

Supporting Charts:
Bonds TLT: spiked violently higher in October to a two year high followed by a sharp reaction from there. But as long as chart holds above 117.14 (maj poc) it is in a strong price location in the LT.
Dollar Index: printed a new four year high on Friday.
Gold GLD: ended the week up from the previous week’s low which was its lowest level since April 2010.
Oil USO: last week printed its lowest level since 2009.
EURUSD: recvently printed a two year low. There is Support at 1.2300