posted 09.14 a.m. est
Significant Buying has been marked seven times in the last twelve days and no Significant Selling has been marked for fourteen days. ES was auctioned to a new high on Friday. Chart is in a strong price location as long as it holds above 1962.00, the 6mn poc.
ES First Level Support = 1962.00 (6mn poc Dec contract)
ES Major Support = 1872.00 (maj poc) eq SPY = 187.68
Breadth: CP Market Timing System turned neutral (from negative) for Nyse, Nasdaq & R2000. UK turned positive (from negative).
Stocks>50dyma numbers: Nyse 65%, Nasdaq 61%, R2000 71%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 9.5 which is up strongly from 5.13 (a six montyh low) on 10/16, just ten days ago, The highest ratio in the database being 10.47 on 07/29. The ratio is rsing fast indicating the public are moving strongly back into the market. We need to watch this closely.
Supporting Charts:
Bonds TLT: spiked violently higher recently 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: has printed a new four year high today.
Gold GLD: Last week printed its lowest level since April 2010 after breaking the recent lows (chart Support).
Oil USO: The potential Support at 34.17 (1/2R off 2009 low) was broken last month and chart has been sharply lower from there to its lowest level since June 2012.
EURUSD: has today printed a new two year low. There is Support lower at 1.2300
