Emini powered ahead today and is a hair's-breadth away from Resistance at 1,075. The stops resting above 1,075 just have to be too tempting – the Professionals are sure to make a run at them.
This would generate some more hysteria about new equity market highs and suck in some more Amateurs, no doubt. Friday is always a good day to make new highs – then the media has maximum time to broadcast the news over the weekend and Amateurs are re-thinking their portfolios.
Had some email requests overnight to update the Emini Oscillator chart and comment on the new tick bar settings. So here goes:
TRIN, Put Call Ratio & Smart Money Oscillators (Emini daily)
The Emini Oscillators have all turned up and are approaching over-bought. Better TRIN has reached +80, Better Put Call Ratio has reached +53 and Better Smart Money is at -12. I'm waiting for Better TRIN to go above +100 and turn down.
The TRIN Oscillator as usual has been the first to turn. In this last up-leg, the TRIN Oscillator was actually signalling Bullish Divergence. That's why I like the TRIN Indicator so much – of all the market internals I've tested (including VIX) it seems to turn the earliest.
End of Trend Signals (Emini 1,500 & 500 tick)
Lastly, the new tick bar settings (500, 1,500 and 4,500) are working out well. The high today was caught nicely with "End of Trend" warning signals on both the 500 and 1,500 tick bar charts.
The first peak was caught by a signal on the lower time frame (500 tick chart). This was then re-tested and the second peak was caught by a signal on the higher time frame (1,500 tick chart).
Good luck with your Emini trading.