pre-open comment Tuesday 24th April
Monday gapped lower and generated a Value Area entirely below the 1366 poc (time below that level indicates further weakness). This remains the critical level, see highlighted comments on graphic.
First Level Resistance = 1379 (minor 10dy poc)
Potential Support/Resistance = 1366 (4month poc)
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 3.77. Last Thursday the Ratio was down at 3.71 which was a 25dy low.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
+ EURUSD: Chart currently holding above the four month poc Support at 1.3069.
? Dollar Index: Chart printing below the 80.15 Resistance (the most important level) but above the 79.09 Support (5mnth poc).
– TLT: For the last eight days chart has held above 116.22, the major poc. Chart gapped higher to a 35dy high on Monday.
imo these charts are mixed and do not have an obvious bias for equities. This could change soon.
