Pre-open Wednesday 22nd July
Tuesday generated a sixth consecutive Value Area above 2095.00 (10mn poc) which is strong price location as long as ES holds that level. As of thirty minutes pre-open ES has printed as low as 2102.75. If more time is printed around 2105/07 that poc could migrate higher.
First Level Support = 2095.00 (10mn poc)
Second Level Support = 2080.25 (1/2R off May high)
Stock Index ETFs: Momentum (PriceOsc) for SPY, DIA and QQQ is above zero. For IWM it is not but for all four charts Momentum is heading up. Breadth numbers are not yet supportive.
Stocks>50dyma numbers: Nyse 37% (from 40%), Nasdaq 45% (from 46%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly higher at 9.85. Last week the ratio reached 8.67 which was an eight month low
Supporting Charts:
Bonds TLT: closed above 117.14, the maj poc. Futures point to a higher open for TLT today.
Dollar Index: is today printing above 96.76, the 1/2R off March high in a strong price location.
Gold GLD: has fallen sharply to its lowest level since early 2010.
Oil USO: the 16mn poc recently migrated to 20.24. USO closed below that level for seven consecutive days eariler this month and then fell heavily. The 1/2R off the March low is at 18.55 and this is now Resistance. Closed on Monday at its lowest level since March.
EURUSD: is today printing below 1.1340, the 12mn poc, and below 1.0961, the 1/2R off March low, in a weak price location.
