posted 09.22 a.m. est
pre-open comment Thursday 11th April
Following Aggressive Buying on Monday and Tuesday ES pushed higher to a new high. Notice that the dotted poc from the previous day was immediate Support. You can see that the session poc each day this week has not been tested in the following session. Sign of strength. In the dayframe when that pattern reverses it is a sign of ST weakness. We’ll watch for it.
%Stocks>50dyma numbers: Nyse 66%, Nasdaq 59%. Numbers >50 are supportive.
First Level Support = ES 1548.50 (5month poc)
Second Level Support = ES 1517.50 (min poc)
My version of the Rydex Assets Ratio was higher at 4.39 (from 3.95). The Recent high for the ratio was on 13th Feb at 5.22. 60day low was 3.49.
Supporting Charts (+ or – or ? for equities). Momentum = daily PriceOsc
+ Bonds TLT: Last week TLT printed a new high for the year but failed at the obvious Resistance at 123.42, the 1/2R off last July’s high. This Resistance has not yet been overcome. Momentum is positive but has turned down.
– Oil USO: prints back below 34.17, the 1/2R and 3year poc. Momentum (although positive) is down.
– Gold GLD: Last week printed its lowest level since the May low last year. Momentum now negative and down.
– Silver SLV: Still in a weak price location printing below 27.87, the 12mn poc and last week printed its lowest level since last July.
+ Dollar Index: ST weak location printing below the 2month poc at 82.75. LT strong location above the 81.35 1/2R level. Momentum is negative and down.
+ EURUSD: found Support at the Major poc at 1.2777. The positive divergence between PriceOsc and Price was confirmed last week by the indicator turning up. The chart is now trying to print time above 1.3070 (24mn poc)which is stronger price location.
imo these charts have a ST positive bias for equities.
