S&P 500 emini pre-open Wednesday 25th February

posted 08.38 a.m. est

Tuesday’s session generated a higher Value Area. Significant Sellers have not been marked for eighteen days. The minor poc is at 2094.0 and this is now the minor Time Support. Significant Selling marked below 2033.50 would be the first sign of weakness for the LT trend. See Sentiment below.

Dayframe: very minor (5dy) Time Support at 2106.50.

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

All four major stock index ETFs have positive and increasing Price Momentum (PriceOsc).

Stocks>50dyma numbers: Nyse 69% (unch), Nasdaq 69% (from 65%), R2000 62% (unch). Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio was higher again at 12.53. This is a 37day high – there are only nine ratios higher than this is in the database with the highest being 13.73 in early December. Bear fund assets that I follow have fallen this week and are now just 3% above the lowest reading in the database. These are contrarian indicators. VIX closed at 13.69, its lowest close since 5th December.

Supporting Charts:
Bonds TLT: reached a new high at the end of January but lower this month. Momentum (PriceOsc) is negative but ticked up on Tuesday.
Dollar Index: on 01/23 printed its highest level since 2003. In recent webcasts I have talked about the possibility of a turn here for the dollar. Watching levels on EURUSD (below) and AUDUSD in particular.
Gold GLD: since probing the Resistance at 124.12 (major poc) three weeks ago, GLD has given back nearly all of last month’s strong gains and printed a 35day low on Tuesday.
Oil USO: on 12/12 broke below the extreme low of Feb 2009 and fell sharply. Has rallied this month.
EURUSD: has been declining since May last year and has reached major 1/2R Support at 1.1241. Has held above that level this month but has not rallied much so far.