Pre-open comment Monday 4th April
Friday’s session found support at the First Level Support given pre-open which is a positive in the ST.
Longframe: ChartProfit Market Timing System is now neutral for all US Market Charts apart from R2000 which is positive. The U.K. chart remained negative.
Last Week’s Structure was bullish (as was the previous week) with relative weakness early in the week and strength at the end of the week. Friday being the high.
At the start of this week 1324 is still the first level to watch for a sign of weakness.
First Level Support = 1324 (15day poc)
Second Level Support = 1318 (2mth poc)
ST Sentiment: My version of the Rydex Assets Ratio finished the week at 3.31, just slightly lower than Thursday’s ratio which was a 22day high. A ratio above 3 is historically very high.
Supporting Charts (+ or – or ? for equities).
+ EURUSD: Printing very close to the November high at 1.4282
+ UDX: Recent test of November’s low did not see the chart lower but the Dollar Index is still in a weak price location.
? TLT: the 1/2R off the February low at 91.54 has so far provided support since the March high. Chart currently prints above that level.
imo it is currently difficult to infer an ST bias for equities from these charts.
