pre-open comment Monday 4th June
Chartprofit Market Timing System remained negative for all major Market Charts. ES closed below the Mon-Wed Hi-Lo Range which is Sellers Active on this timeframe.
Previous week (w/e 25th May) Buyers were active but ineffective their activity forced by Sellers Resting. Last week Significant Sellers were active and ES broke down to a new low. This is Effective Selling and obviously Sellers are still in control of the dayframe.
Resistance = 1307 (poc)
Support = 1247 (maj poc)
Sentiment: My version of the Rydex Assets Ratio finished the week at 3.04. The lowest ratio of the week was 2.98 which is a four month low. Even so, intermediate bottoms nearly always see a lower ratio than this so I do not consider this number useful at the moment.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
– EURUSD: Major poc is at 1.2777. Last week’s low at 1.2288 was the lowest print since July 2010.
– Dollar Index: Friday’s high at 83.54 was the highest print since August 2010.
– TLT: Last week chart printed a new high.
imo these charts have a negative bias for equities.
