posted 09.20 a.m. est
pre-open comment Tuesday 17th September
Note: we are now following the December ES contract.
Sellers Responded (red-at-top) to Monday’s higher open. This was the first Significant Selling marked in nine days. If ES prints 1700 or higher it would negate any ST negative implications of that imbalance and only Significant Selling marked below First Level Support at 1685.50 (12mn poc) would be of concern.
Stocks>50dyma numbers: Nyse 62%, Nasdaq 58%, R2000 52%. Numbers >50 are considered supportive.
First Level Support = 1685.50 (12mn poc)
Second Level Support = 1644.50 (5mn poc)
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 3.91. 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: Chart remains in a weak price location below 107.22, the 4mn poc and prints close to the August low.
Oil USO: Now printing above both the 1/2R off 2011 high at 37.31 and 37.93, its maj poc, in a stronger price location. Momentum, although positive, has turned down.
Gold GLD: Chart is currently printing below 134.17, the 12mn poc, in a weak price location. Friday printed a 25day low. Momentum is now negative and down.
Dollar Index: Currently in weak price location below the major poc at 82.73. Bulls would want to see price recover that level.
EURUSD: Currently printing in a stronger price location above 1.3228, the 1/2R off Feb high.
