Market Wrap

Buyers didn’t gain any traction for Tuesday’s efforts. That’s based on the bias environment’s exit still overlapping the noon hour’s range, and the final hour’s entry overlapping both. And that’s surprising, considering their rescue of the morning’s dive.

The morning’s dive was sponsored by weak hands, so its recovery wasn’t surprising. Its reversal stopped 3 ticks short of the 1982.75 overnight high, not necessarily due to pessimism, so a higher high isn’t required. But it wouldn’t be surprising.

None of which equates to being a sell signal. But extending higher without one would all but require gapping up, or at least probing higher overnight.

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

Monitor overnight Globex trading in the chaRTroom here.

Exiting the afternoon bias environment above all prior intraday timing window highs is extremely difficult to reverse down on Fridays. And it often extends even higher. That was the case this week, as bounce targets into the 1860.00‘s began to be met.

That’s a Friday Factor, but so is the lack of credibility for actually extending higher. Weaker volume means weaker hands, so their gaining traction isn’t impressive as it would be on any other weekday. If anything, it suggests that sellers are being extra patient, which is potentially bearish from a contrarian perspective.

An immediate reversal down next week would be credible, but not much and not at all optimal — not like first testing 1867.00. Its recovery would suggest only a higher starting point to the decline’s eventual resumption.

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

Monitor overnight Globex trading in the chaRTroom here.

Thursday’s last surge probed the morning’s high, with the road wide open for almost doubling the 27-point surge that had preceded it. But the 1834.50 resistance wielded more influence than anticipated.

And that’s interesting. Because that’s pessimism. Still pessimistic while probing the morning’s high, even after extending the 27-point surge that had stopped pessimistically short of touching the morning’s high.

Sellers remain in control, but that can be negated by gapping up. Absent gapping up, the pattern remains vulnerable to trending back down.

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

Overnight Globex trading in the chaRTroom here.

Th 3:10-3:20 window did what the bias environment exit and final hour entry did not. It came alive with an aggressive dive to new lows. It was the least optimal timing, so the least reliable. But it did prevent being range-bound and firming. And its reward was to fill the gap back down to yesterday’s 1848.00 close down to 1845.50.

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

Monitor overnight Globex trading in the chaRTroom here.

Unfortunately, I cannot get the remote machine to launch the Anymeeting software. I’ll get it running this evening, and I apologize for the issue.