Technical analysis – Market pre-open 13th May 2016
ES opened on Thursday close to 2068 (dashed), the minor 1/2R off the April high and immediately sold off, see yesterday’s highlighted comments. Overnight ES has printed as low as 2046.25 with the important Support at 2041.00. Time printed below that level would be indicate furthr weakness, see Monday’s comments.
First Level Resistance = 2086.00 (1mn poc)
First Level Support = 2041.00 (8mn poc)
KEY Chart: The 1/2R off last years high for IWM is at 111.38. Chart closed below that level on Thursday in a weak price location.
Stocks>50dyma numbers: Nyse 59% (from 62%), Nasdaq 44% (from 48%), R2000 51% (from 55%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 4.28. On 04/26 the ratio reached 5.27 which was the highest level since early January. On 02/19 the ratio fell to 2.64 which was the lowest since November 2012.
Supporting Charts:
see today’s video
