Early in last Thursday’s session there was a rejected probe of the v minor (4day) poc at 3264.50, see previous highlighted comments. On Friday ES tested 3202.50, First Level Support, but the Value Area was generated entirely above that level, as was Monday’s. Price printing time below 3264.50 would be a first sign of weakness.
Key charts
FTSE 100: recent multiple rejections in June/July at 6312 (1/2R Resistance off last year’s high). This indicated weakness and FTSE sold off last week. Bulls would want to see that level recovered asap.
DAX: the 4yr is at 12240. Currently DAX prints well above that level in a strong position. Last week printed its highest level since February but sold off at end of week.
Sentiment: My version of the Rydex Assets Ratio was unchanged at 12.1. Two weeks ago the ratio reached 12.96, the highest since 5th May. The ratio fell to 3.35 on 03/17, the lowest since early 2016. The ratio reached 28.62 on 12/27, the highest reading in my database.
Stocks>50dyma Nyse 66% (unch), Nasdaq 64% (from 62%), R2000 58% (from 58%). Numbers >50 are supportive.
