S&P 500 emini pre-open Wednesday 11th March

Tuesday generated a lower, wider Value Area and Aggressive Selling (red-at-bottom) was marked again, see yesterday’s highlighted comments There is Support at 2033.50, see below, and Bulls would hope that if this level is tested it woould be recovered quickly. Price below this level would put the chart in a still weaker price location. Price Momentum remains positive but down for all four major stock index ETFs.

First Level Resistance = 2107.00 (40day poc)
First Level Support = 2033.50 (4mn poc)
Major Support = 1962.00 (6mn poc) and SPY 200.11 (8mn poc)

Stocks>50dyma numbers: Nyse 39%, Nasdaq 53%, R2000 45%. Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio peaked last week at 14.06. This is the highest ratio in the database and the only one above 14. Historically, extreme high levels in the ratio have been a warning. The market is down hard this week and the ratio has fallen very little – this is not usually a bullish indication. Tuesday’s ratio was 12.16.

Supporting Charts:
Bonds TLT: reached a new high at the end of January but has fallen sharply since then and on Friday printed its lowest level this year.
Dollar Index: has today printed its highest level since 2003. First Level Support is the 12mn poc at 94.67.
Gold GLD: on Tuesday printed its lowest level this year.
Oil USO: on 12/12 broke below the extreme low of Feb 2009 and fell sharply but rallied in early February. Closed on Tuesday below 18.6, the 1/2R off Jan low.
EURUSD: fell since May last year to major 1/2R Support at 1.1241. Chart held above that level through February but this month has broken that Support and is now printing below well January’s low.