pre-open comment Wednesday 3rd April
ES printed higher than 1564 on Tuesday, negating Monday’s Selling imbalance. A higher, narrower Value Area was generated on increased Volume. Until Sellers make an “Effective” appearance I assume Buyers are still in control of the dayframe.
%Stocks>50dyma numbers: Nyse 65%, Nasdaq 57%. Numbers >50 are supportive.
First Level Support = ES 1550 (30dy poc)
Second Level Support = ES 1517.50 (3mn poc)
My version of the Rydex Assets Ratio was slightly higher at 4.47. The 49day low for this number is 3.49. Recent high for the ratio was on 13th Feb at 5.22.
Supporting Charts (+ or – or ? for equities). Momentum = daily PriceOsc
– Bonds TLT: prints above the maj poc at 117.15. Momentum is now positive and up.
+ Oil USO: is back in a stronger price location above 34.17, the 1/2R and now 3year poc. Momentum is positive and up.
– Gold GLD: still prints in a weak price location well below 161.0, the maj poc. Momentum (although positive) is now down. Pre-open chart prints below 152.70, the12mn poc.
– Silver SLV: Still in a weak price location printing below 27.87, the 12mn poc and on Tueaday reached its lowest level since last August.
? Dollar Index: Last week printed its highest level since August last year. Today is printing at the 2mn poc at 82.75.
? EURUSD: The Major poc at 1.2777 was tested last week and has held – so far. Price below that level would be extremely weak price location. However there is a positive divergence between PriceOsc and Price. This would be confirmed if the indicator turns up.
imo these charts have a slight negative bias for equities.
