posted 098.17 a.m. est
Last week the 4mn poc migrated back to 2033.50. As long as ES holds above this level it is in a strong price location. Overnight that level was briefly tested and pre-open ES prints above 2040. Significant Buying has been marked four times in the last five days.
First Level Support = 2033.50 (4mn poc)
Major Support = 1962.00 (6mn poc) and SPY 200.11 (8mn poc)
Breadth: CP Mareket Timing Chart remained negative for all U.S. major Market Charts and remained positive for UK.
Stocks>50dyma numbers: Nyse 49%, Nasdaq 46%, R2000 48%, UK 77%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 11.50 which historically is very high. Bear fund assets that I follow were down 18% on Friday. In early December the ratio reached 13.73, the highest in the database.
Supporting Charts:
Bonds TLT: recently exceeded the 2012 high and printed a new high last week.
Dollar Index: on Friday printed its highest level since 2003.
Gold GLD: has rallied strongly this month and last week probed above 124.12, the major poc on the daily chart. Time printed above this level would be strong price location. Pre-open today GLD prints below 124.12.
Oil USO: on 12/12 broke below the extreme low of Feb 2009 and pre-open today has printed a new low.
EURUSD: probed the 4mn Time Resistance at 1.2475 last month and is lower from there, printing below 1.2300, the maj poc, and has today printed its lowest level since 2003.
