posted 9.22 a.m. et
Pre-open comment Wednesday 25th January
Buyers Responded (green-at-bottom) to an early probe below the low of the last three sessions. Like Monday’s Responsive Selling this was Ineffective (the Value Area was overlapping/lower).
Pre-open last Thursday I mentioned that 1315 was a potential level of Resistance, being a previous poc (of some importance). So far ES has not been able to print any time above that level; there’s only been one rejected price probe above it on Monday. If ES can manage to overcome this Resistance and consolidate it would be in a strong position but this is in doubt especially with the market being overbought and the current Sentiment readings showing lots of Bulls (see below).
Dayframe: 1307 became more important level to monitor. The 20dy poc migrated to this level. Could be intraday Support or Resistance during today’s session.
First Level S/R = 1307 (20dy poc)
Second Level Support = ES 1271.50 (poc) SPY = 127.91
Sentiment: My version of the Rydex Assets Ratio jumped to 3.38 which is the highest reading for more than five months. This is not usually bullish.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
+ EURUSD: Currently prints above the 1.2811 poc with momentum up.
? Dollar Index: pre-open Chart prints back above the important 80.15 level. Momentum is down. KEY CHART
+ TLT: currently the chart prints below the 10month poc at 117.88.
imo these charts have a slight positive bias for equities.
