posted 08.05 a.m. est
pre-open comment Thursday 13th June
Wednesday’s session high didn’t even get to test the First Level Resistance at 1641 (dotted) before Resonsive Sellers (red-at-top) quickly auctioned ES back below the 55day poc. Aggressive Selling was also marked later in the day. Over the last ten days I have marked Significant Selling six times and Significant Buying only once (which I said was Ineffective). Sellers are still in control, see previous highlighted comments.Overnight ES has printed as low as 1595.50 which is close to testing last week’s low. Nyse %Stocks>50dyma number has dipped below 50 with Nasdaq and R2000 holding at 60%.
%Stocks>50dyma numbers: Nyse 46%, Nasdaq 60%, R2000 60%. Numbers >50 are considered supportive. Numbers >80 are considered overbought.
First Level Resistance = ES 1628 (minor 1/2R)
Sentiment: my version of the Rydex Assets Ratio was only slightly lower at 4.40 (from 4.48). It is a concern that the Rydex traders are still not registering any fear (contrarian).
Supporting Charts
Bonds TLT: In a weak price location below the major poc at 117.15. On Tuesday the chart printed its lowest level since April 2012.
Oil USO: On Tuesday chart again probed the Resistance around 34.20 but has not printed any time above this level yet. Momentum (although negative) is up.
Gold GLD: Fell steeply in April to its lowest level for two years and that level was approached again in May. Momentum just turned positive.
Silver SLV: On Tuesday printed its lowest level since October 2010.
Dollar Index: Has now broken the Support at the 1/2R off 2009 high at 81.10. Next Support is the major poc at 80.15. Momentum is negative and down.
EURUSD: Has today printed its highest level since February and above 1.3228, the 1/2R off Feb high. Momentum is up and positive.
