posted 9.24 a.m. et
pre-open comment Wednesday 16th May
On Tuesday I marked Aggressive Selling (red-at-bottom), however the Value Area was overlapping the previous VA rather than obviously lower so this was not Effective Selling. Red-at-bottom lows usually get tested pretty quickly but if there is a pause here price around 1334/35 may become attractive. In any event until Significant Buying is marked I remain cautious on every timeframe. Please see previous comments (highlighted).
Resistance = 1366 (4month poc)
Sentiment: I’ve said that my version of the Rydex Assets Ratio has shown no indication of panic. That remains the case. Yesterday’s ratio was only slightly lower at 4.48 (down from 4.70) following four consecutive higher readings.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
– EURUSD: is lower again today printing its lowest level since 17th January.
– Dollar Index: is today printing well above 80.15, the major level.
– TLT: on Tuesday chart printed its highest level since 18th January.
imo these charts have a negative bias for equities.
