posted 9.29 a.m. est
Pre-open Monday 25th October
Friday’s session was narrow with most time spent around 1178 which lifted the twenty day poc to this level. 1178 is the First Level Support at the start of this week. Next Level support comes in at 1155.50.
Since Significant Buyers were marked on Tuesday 12th there has been no Significant Buying or Selling imbalances. Responsive Sellers were offered opportunity for eight sessions and have not responded. As I wrote pre-open last Tuesday “I’ll assume this is Buyers Resting until Significant Sellers are marked”.
The low of this period was the obvious support at 1155.50 which was the poc of the previous range. There’s no indications of weakness in the price peformance last week despite the various divergences I have been talking about in the webcasts.
Dayframe: Pre-open ES prints 1187 – maybe a higher open today will bring a Response from the Sellers.
Longframe: Chartprofit Market Timing System stays positive for all major market charts.
ST Sentiment: My version of the Rydex Assets Ratio finished the week at 1.93, up from 1.85 on Thursday but below Tuesday’s reading of 2.03, the highest since early May.
Supporting Charts
+ USDJPY: New low for this chart today.
+ EURUSD: Major 1/2R at 1.3965 (off the 2008 high) in play. Chart printing above that level today.
+ UDX: there’s been little bounce from the ten month low set on the 15th.
+ TLT: chart still in weak location with confirmed lower high and lower low.
imo these charts have a positive bias for equities.
