pre-open comment Tuesday 8th May
For the reassons mentioned over the last few days I remain very cautious here, see highlighted comments on graphic. Overnight ES probed up into the 1366 poc but pre-open is printing 1358. Price above 1366 would be the first minor sign of strength but only Significant Buying marked above that level would indicate higher.
First Level Resistance = 1366 (4month poc)
Sentiment: My version of the Rydex Assets Ratio was lower at 3.65 (from 4.60). Bull fund assets that I follow were down 14%.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
– EURUSD: broke below 1.3069, the four month poc Support on Monday and printed a three month low.
? Dollar Index: printing above 79.09 (12mnth poc) with Monday’s high at 80.03 being just below the major Resistance at 80.15.
– TLT: is printing above the maj poc at 117.18 at a new 2month high.
imo these charts are looking more negative for equities.
