posted 08.55 a.m. est
pre-open comment Wednesday 27th March
See yesterday’s highlighted comments. Strictly applying my rules I had to mark Aggressive Buying on Tuesday but the Value Area (although higher) was narrower so this was not Effective Buying. According to my rules if ES prints below Tuesday’s low at 1550.25 during today’s session it would negate any ST bullish implication of yesterday’s imbalance. And pre-open today the chart has almost printed down to First Level Support at 1547 – so yesterday’s push may be another failed probe above the minor VAH at 1551 (dashed line). Chart needs to hold 1547 to remain in a strong price location in the ST.
%Stocks>50dyma numbers: Nyse 68%, Nasdaq 67% Numbers >50 are supportive.
First Level Support = ES 1547 (27dy poc)
Second Level Support = ES 1517.50 (3mn poc)
My version of the Rydex Assets Ratio was lower at 3.92 (from 4.26). Since September the highest ratio was on 13th Feb at 5.22 and the lowest was
Supporting Charts (+ or – or ? for equities). Momentum = daily PriceOsc
– Bonds TLT: Pre-open today the chart prints above the maj poc at 117.15. Momentum (although negative) is up.
? Oil USO: Reached a 24day high on Tuesday and closed above the Resistance at 34.17. Time spent above that level would be bullish. Momentum is up and positive.
? Gold GLD: showed weakness after it broke below 161.0, the major poc, six weeks ago and still prints is a weak price location well below that level. But Momentum is positive and up.
– Silver SLV: Still in a weak price location and weaker pre-open today.
– Dollar Index: Has today printed its highest level since August last year. If chart holds this level today Momentum could turn back up.
– EURUSD: Has today printed its lowest level since November and is currently probing the major poc Support at 1.2777. Momentum has turned back down. imo these charts now have a negative bias for equities.
