posted 9.21 a.m. et
pre-open comment Tuesday 29th May
Chartprofit Market Timing System remained negative for all major Market Charts. Weekly Structure: ES closed the week within Mon-Wed Hi-Lo Range which shows no bias. Previous week showed Sellers Active on this timeframe.
Last week I marked Significant Buying twice and no Significant Selling. This Buying could be “forced” due to Sellers Resting (inactive) – note that the previous week had seen very active Selling. The Buyers need to make more progress than they did last week to be convincing, i.e. their activity needs to be Effective. For example, if Buyers are marked this week above 1307 with a higher weekly Value Area and an improvemnet in daily breadth numbers then I would consider new longs on the weekly timeframe. ES printing back below 1307 would be weak price location.
Dayframe: the minor (20dy) poc migrated slightly higher to 1319 which could be intraday Support or Resistance today.
First Level S/R = 1319.00 (20dy poc)
Second Level Support = 1307 (maj poc)
Sentiment: My version of the Rydex Assets Ratio finished the week at 2.98 which is a four month low.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
– EURUSD: Major poc is at 1.2777. Chart currently prints below that level and on Monday printed its lowest level since July 2010.
– Dollar Index: On Monday printed its highest level since September 2010.
– TLT: Last week printed its highest level since October.
imo these charts have a negative bias for equities.
