pre-open comment Wednesday 12th September
Wednesday’s session printed an overlapping/higher Value Area with Significant Buying being marked late in the day. Overnight ES has found Support at the 1435 minor poc. New short trades are now eliminated for me at least until Significant Selling is marked again. We’ve seen four days of consolidation since SP500 moved to new multi-year highs last week; I expect today will be more volatile. Nasdaq Comp and Nasdaq 100 indices still print below their important levels discussed in last week’s webcast, see below.
First Level S/R = 1435.00 (15dy poc)
Second Level Support = 1397.00 (8mn poc)
Other Key Charts/Levels: Watching Major 1/2R levels closely this week on the following charts. QQQ = 70.13; Nasdaq Comp = 3120.50; Nasdaq 100 = 2805.60
Sentiment: My version of the Rydex Assets Ratio was slightly higher on Wednesday at 4.97 but last Thursday’s ratio printed 5.35 and I only have two readings higher than this in my database. These are 5.64 on 3rd April and 5.43 on 2nd May.
Supporting Charts (+ or – or ? for equities). UNCHANGED
(Momentum = daily PriceOsc)
+ KEY CHART EURUSD: On Wednesday printed its highest level since May and is now printing above the 1.2777 major poc.
+ KEY CHART Dollar Index: On Wednesday printed its lowest level since early May and is now printing below the major level at 80.15.
+ TLT: Key Chart. the 5month poc migrated to 125.93 in August. Chart currently prints below that level in a weaker price location.
imo these charts have a positive bias for equities.
