Stocks are flat or lower today. Investors are waiting for Fed Chairman Powell’s news conference after central bank concludes its two-day meeting.
Aggressive Buying (green-at-top) was marked on Monday. First sign of weakness would now be a day session close below 3193.50, Monday’s low (dashed line). First Level Support is at 2926.0, the 2yr poc. The most important Support is at 2719, the maj poc. ES needs to hold this level to maintain a strong position in the longer timeframe.
FTSE100: last week broke above 6312, the major 1/2R, which is now Support. Today that Support is in play.
Bonds TLT: A probe of the 6mn Resistance at 165.36 was rejected on 05/22 and TLT sold off. Last week broke below 159.43 which is the 1/2R off March high and now Resistance. On Tuesday that Resistance came into play. Weak position.
Dollar Index: in April/May failed at two attempts to print above the 1/2R Resistance off March high, and then sold off from that rejection. Last week broke the 3yr Support at 97.38. New low today for this down move.
Sentiment: My version of the Rydex Assets Ratio was higher at 12.88, a three month high. 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 95%, Nasdaq 94%, R2000 94%. Numbers >50 are supportive.
