pre-open comment Wednesday 28th November
Tuesday’s session generated an overlapping Value Area. Applying my rules strictly I had to mark Significant Selling (red) but this was Ineffective Selling as the Value Area was overlapping/higher. Even so, this eliminates new long trades for me at least until Significant Buying (green) is marked again. Session high was 1407, just below the First Level Resistance at 1408. Pre-open today ES prints back below the major poc at 1397.
%Stocks>50dyma numbers for Nyse and Nasdaq remain below 50. Numbers above 50 are supportive.
First Level Resistance = 1408 (6mn poc)
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 2.90. On Friday 16th Nov the ratio reached 2.57 which was the lowest since 7th June.
Supporting Charts (+ or – or ? for equities). Momentum = daily PriceOsc
? EURUSD: Key Chart. Chart is currently printing back below 1.2917, the 1/2R Resistance off Sep high.
– Dollar Index: Key Chart. At the end of last week stalled at 80.15 Support and is currently holding above that level. Time below 80.15 would indicate further weakness.
– TLT: Key Chart. At the end of last week stalled at the 123.96 poc Support. Time below this level would indicate further weakness. Currently chart is printing back above 125.13 (1/2R).
imo current price location of the Supporting Charts suggests a ST negative bias for equities.
