emini analysis: Please read previous comments. Aggressive Buying (green-at-top) was marked again on Monday. That’s five Value Areas above the 2159.50 poc.
ES has to hold that level to maintain a strong price location. I’m also closely watching Oil (USO) and the Rydex ratio, see below.
First Level Support = 2159.50 (6month poc)
Second Level Support = 2106.50 (1/2R off August high)
Stocks>50dyma numbers: Nyse 66% (from 61%), Nasdaq 67% (unch), R2000 76% (from 77%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was sharply higher at 7.53 (from 5.54). The highest ratio for the last ten months is at 7.90 reached on 08/26. Bear fund assets that I follow have reached their lowest level since August 2015.
Supporting Charts
Bonds: TLT – last week the chart reached its lowest level since December, closing on Friday at 120.85. The major poc Support is at 117.15. Futures indicate a higher open today.
Dollar Index: last week broke out above the December ’15 high.
Gold: On Monday GLD closed at 115.58, just above 115.69, the 1/2R off last year’s low. Price below this level would be weak location.
Oil: USO – has rallied back to the maj poc at 10.78. Monday’s high was 10.79. Price printing time above this level would put the chart in a strong price location. This is a Key Chart.
EURUSD: in early October chart broke below 1.1165, the 4yr poc, and has been in a weak price location since then. On Friday chart printed its lowest level since December.
click graphic to enlarge
