Pre-open Stock market report from Chartprofit 19th July 2016
Dayframe: Monday’s session generated another Value Area between 2150 and 2162. Enough time was spent in this area of price to lift the very minor (10day) poc to 2158.00. Price relative to 2158 could be useful as a guide to ST strength/weakness today. Significant Selling has not been marked for fourteen days. Until Significant, Effective Selling (red) is marked I will assume that the Buyers are still in control of the dayframe.
First Level Support = 2087.00 (major poc)
Stocks>50dyma numbers: Nyse 80% (from 79%), Nasdaq 74% (unch), R2000 80% (unch). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 5.44. Last Thursday’s ratio at 5.97 was a six month high. Bear fund assets fell to a seven month low last week.
Supporting Charts:
Bonds: having hit a new high on Friday 07/08, TLT closed sharply lower last week.
Dollar Index: currently printing above 96.21, the 1/2R off the December high in a stronger price location.
Gold: GLD printed a two year high in the week ending 07/08. Last week was lower but as long as chart holds above 118.22 (maj poic) it is in a strong price location in the LT.
Oil: USO – the 9mn poc migrated back down to 10.78 last week and USO must hold this level to maintain a strong price location.
EURUSD: printing below 1.1313, the 4yr poc and currently printing just below 1.11, the 1/2R off last year’s low.eak price location.
click graphic to enlarge
