posted 9.45 a.m ET
Post-open comment Wednesday 2nd November
ES has not convincingly broken the 1/2R Support at 1214.50 but also there has been no convincing Response from the Buyers. Should the 1214.50 Support be broken I would be very cautious and if Significant Selling is marked below that level I would expect more weakness.
1st Level S/R = 1231 (minor poc)
1st Level Support = 1214.50 1/2R off May high (SPY 122.30)
ST Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 2.79. Down very slightly from Monday’s 2.82 which was a 60day high. No sign of major concern from the Rydex traders which is usually ST Bearish after a sell-off.
Supporting Charts (+ or – or ? for equities).
? EURUSD: has now broken back below the 1/2R off May 2008 high which is an important level at 1.3965 but found Support at the 1.3635 poc.
? Dollar Index: back above the major level at 76.27 (1/2R off the May low) but today back below the minor level which is the 77.05 min poc.
? TLT: above the 4mnth poc at 112.13 but today back below the minor 1/2R off Oct high.
imo in the ST we cannot get a useful idea of bias for equities from these charts.
