posted 08.52 a.m. est
pre-open comment Tuesday 12th November
Monday generated a very narrow Value Area on low Volume. If more time is printed at current levels then the the 40day poc at 1757.50 could migrate higher, see yesterday’s highlighted comments. For now, as long as ES holds above that Support it is in a strong price location.
ST Support = 1757.50 (40dy poc)
LT Support = = 1685.50 poc
Stocks>50dyma numbers: Nyse 64%, Nasdaq 59%, R2000 61%. Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 4.66. Last week the ratio reached 5.1 which was the highest since May 28th. The ratio reached as high as 5.43 at the market May high and as low as 2.15 on 07/10 (which was the lowest ratio since January 2012).
Supporting Charts
Bonds TLT: The 8mn poc is now at 106.31 and TLT is currently in a weak price location below that level. Chart was sharply at the end of last week. Momentum is negative and down.
Gold GLD: Broke Support at 126.11, 1/2R off June low at the end of last week. Weak price location.
Oil USO: Currently printing “at” the low of the Support Band which is 34.17 = 1/2R off 2009 low and 34.13 = 3yr poc. Momentum (although negative) has turned up.
Dollar Index: Back in a stronger price location above the important level at 80.15.
EURUSD: Is today attempting to recover back above 1.3416, the 1/2R off 2010 low. Bulls would want to see some time printed above that level. Momentum is down and negative.
