posted 9.29 a.m. edt
Pre-open comment Tuesday 13th September
Since the August low there had been two higher lows and a higher high. Yesterday’s price action broke that pattern when last week’s low was tested.
Dayframe: Watching the 1/2R off Aug low, particularly SPY which is 116.89. Consolidation above these levels would be the first minor sign of strength.
40dy poc levels migrated slightly – see below.
1st Level Support = 1142 (40dy poc) (114.88 SPY)
1/2R off Aug low ES Dec = 1147 (SPY 116.89)
Maj Support ES = 1094 (Maj LT poc)
Maj Support SPY = 112.31 (Maj 1/2R) & 109.15 (MAJ LT poc)
ST Sentiment: My version of the Rydex Assets Ratio was lower at 1.22 (from 1.28). The recent low for this ratio on 22nd Aug was 1.10, the lowest reading since Sep 2010.
Supporting Charts (+ or – or ? for equities).
– EURUSD: Has broken below Major Support at 1.4212 (maj poc) and 1.3965 (maj 1/2R).
– Dollar Index: Currently printing above the 74.96 poc and reached a six month high on Monday.
– TLT: Last week printed its highest level since Jan 2009.
imo these charts have lined up negatively for equities.
