posted 09.16 a.m. est
pre-open comment Thursday 30th May
Strictly applying my rules I had to mark Resposnsive Buying on Wednesday which means new short trades are eliminated for me at least until new Significant Selling is marked. The Value Area was lower so this was not Effective Buying. Bulls would want to see price back above 1653; Significant Buying marked above that level would be ST bullish.
Dayframe: 1659.25 is the minor 1/2R off May high. This is worth monitoring in the dayframe. Always worth watching the 1/2R of any degree from a high – in a weak market it will often mark a lower high.
%Stocks>50dyma numbers: Nyse 67%, Nasdaq 69%, R2000 72%. Numbers >50 are considered supportive. Numbers >80 are considered overbought.
First Level Resistance = ES 1653 (26dy poc)
First Level Support = ES 1626 (prev poc)
Sentiment: my version of the Rydex Assets Ratio was lower at 4.86 (from 5.14). Last week the ratio reached 5.43 and I only have two readings higher than this in the database which were were at the market highs in April and September last year.
Supporting Charts + or – or ? indicates bias for equities
+ Bonds TLT: KEY CHART. printing below the major poc at 117.15. Time printed below this level is weak price location. On Tuesday reached its lowest level since April 2012.
– Oil USO: Currently printing below the Resistance around 34.20 which is weak price location. Momentum is now negative and down.
– Gold GLD: Fell steeply last month to its lowest level for two years and that level was approached again last week. Momentum, although negative, has turned up.
– Silver SLV: Last week printed its lowest level since October 2010. Momentum, although negative, has turned up.
– Dollar Index: Last week printed its highest level since July 2010.
? EURUSD: currently holding the major poc Support at 1.2777. Momentum, although negative, has turned up.
TLT is the Key Chart. i.e. price location relative to the major Support at 117.15.
