posted 9.29 a.m. edt
Pre-open comment Tuesday 30th August
On Monday there was further Aggressive Buying marked (green-at-top). ES probed above the 20day VAH which has now moved slightly higher and is now at 1198 (dotted).
Green-at-top highs are tested the following day 80% of the time but that stat is less reliable for a gap day like Monday. I’m staying with the idea of ST strong and LT weak unless ES fails to hold above the minor poc at 1163.
Resistance = 1222 (1/2R off May high)
First Level Support = 1163 (minor 8dy poc) (116.39 spy)
Support = 1134 (30dy poc) (SPY = 114.25)
ST Sentiment: My version of the Rydex Assets Ratio was up slightly to 1.55. The recent low for this ratio at 1.10 was the lowest reading since Sep 2010.
Supporting Charts (+ or – or ? for equities).
+ EURUSD: prints above the band of maj LT support between 1.3920 to 1.3965 and currently prints at the 1/2R off May high at 1.44.
+ Dollar Index: Currently printing below the 74.96 poc.
– TLT: printing above the major 1/2R off the 2008 high at 105.22.
imo it is difficult to imply a bias for equities in the ST from these charts.
