I wrote that “my hunch is that a controlling price will emerge between the high on 06/08 and the low on 06/15.” That has now happened with the 8month migrating to 3106.5, see chart. Today ES is printing above that level in a strong position. This is now First Level Support. Holding that level (now Support) in the short term would be further bullish price action.
Sentiment: My version of the Rydex Assets Ratio was higher at 11.91. SPX has recovered more than 80% of its decline from this years high and the ratio less than 30% – this is a positive for the market. 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 numbers: Nyse 79% (from 83%), Nasdaq 75% (from 77%), R2000 72% (from 76%). Numbers >50 are supportive.
