Our S/R levels have accurately capped the high and low this week. On Monday ES found low at the Support at 2080.25 (1/2R off May high ) and Wednesday’s high came in at the 2107.00 Resistance (poc). Price printing time above that level would be a positive and strong price location.
Resistance = 2107.00 (poc)
First Level S/R = 2095.00 (poc)
Support = 2080.25 (1/2R off May high )
Breadth numbers are not yet supportive.
Stocks>50dyma numbers: Nyse 38% (from 37%), Nasdaq 38% (from 37%), R2000 38% (from 37%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly higher at 10.0. On 07/14 the ratio reached 8.67 which was an eight month low.
Supporting Charts:
Bonds TLT: On Monday reached its highest level since April. Has pulled back from there but Momentum (PriceOsc) is still positive and up.
Dollar Index: as long as chart holds above 96.76, the 1/2R off March high, it is in a strong price location.
Gold GLD: closed on Wednesday close to the July low which was the lowest level since early 2010.
Oil USO: reached a new low on Wednesday
EURUSD: is today printing below 1.0961, the 1/2R off March low in a weak price location. Price relative to this level would indicate ST strength/weakness.
