Market Wrap

The final hour’s break under the morning’s 1918.50 low had extended quickly down to 1915.75. Bouncing back above the prior lows didn’t hold up — it was retraced down to 1917.00.

And there’s still room down to Friday’s “lower prior highs” around 1914.50 to still be a healthy corrective leg.Gapping back up above 1926.00 would be more bullish.

Otherwise, a durable downleg remains unlikely at this stage. Having said that, extending under Friday’s 1 lows would be difficult to recover any time soon.

Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.

Monday’s open gapped up considerably to 1932.00 and soon trended sharply higher to 1943.00. Still being governed by the bullish WedEX signal, a reaction down could not gain traction. And the reaction down to 1936.00 did not gain traction, instead recovering to a fresh session high at 1943.75.

Now a reaction down can gain traction. Not just trending down, but gapping back down under lower prior highs like 1923.00-1927.00 to form an Island. Otherwise, just dipping into their test would be attracted back up to Monday’s 1932.00 opening gap.

Overbought RSIs at Monday’s 1943.75 high require a retest, too. That can be neutralized overnight, although any complexity would require probing fresh highs intraday, whether only to 1946.00 or to 1952.00-1953.00.

Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.

The afternoon bias environment was exited by dipping under 1909.50 to 1908.00. The final hour was spent recovering the afternoon’s 1914.50 high up to 1915.25.

That modest fresh high fulfills the bullish WedEX signal. Not so much the higher high, as absorbing a fresh low. Hardly worth it, except that the signal influences Monday morning, too. And this action Friday afternoon dictates a very specific resolution coming out of the weekend.

We’ll talk about that at the Saturday Review. I’ll send out its link overnight.

Details and other markets coverage are discussed in the post-market Wrap recording here.

Thursday afternoon’s last downleg neutralized the attraction below. That was simultaneously oversold RSIs which printed during the afternoon’s bias environment. Their retest took RSIs back to the brink of being oversold, too. But a retest of the more recently RSIs isn’t required since that developed into the close.

So, there is no hold-short or hold-long, and neither buyers nor sellers gained traction for their efforts. An actively bullish WedEX stands ready to provide an upward bias Friday afternoon.

Details and other markets coverage are discussed in the post-market Wrap recording here. (This version is .avi — I’ll have it converted to MP4 this evening for those who are unable to view it.)

Monitor overnight Globex trading in the chaRTroom here.

No traction was gained during Wednesday afternoon timing windows. The bias environment exit was probing above the noon hour’s highs, but the final hour’s entry did not better. Much like Tuesday afternoon’s setup.

Buyers were rewarded by fulfilling the rally’s potential up to 1920.00. Still testing it or overlapping it at Wednesday’s close has avoided putting into play any higher targets. Extending higher Thursday without delay  would require gapping up. Much like Tuesday afternoon’s setup.

Similar setups that appear consecutively tend to resolve differently from each other. This would seem to doom gapping up, if not preclude gapping up, at all. Also, since WedEX triggered actively bullish to suggest that Friday afternoon would rally, buyers can rest on their laurels with that downside protection.

Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.