Market Wrap

Price action around the bias environment’s 2018.50 low was not accumulative. But it did hold a retest of the morning’s low, as well as the afternoon’s bias-down signal. So, if the bias environment’s exit wasn’t going to break lower, then it was vulnerable to firming back into the range.

Which it did, testing the noon hour’s 2025.75 high by several ticks up to 2027.00. But without originating from an accumulative pattern, there was no sponsorship to break resistance. And the last half-hour slid back down to 2021.75. Post-close action slid further to attack 2019.50.

Since Tuesday afternoon’s bounce never gained traction. So, the retest of the morning’s low can break lower Wednesday if done almost immediately. Room for noise up to 2031.75 was met already to within 1 tick. Regardless, the three-day range isn’t likely to persist, so not already dropping at Wednesday’s open would be likely to rally by default — probably by gapping up.

Details and other markets coverage are discussed in the post-market Wrap recording here:
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The post-close email was missing the link to the post-market Wrap:
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Fresh session highs were supposed to be the consequence of not extending Monday afternoon’s dip below the morning’s lows. The cash session close did make that happen, barely, piercing the morning’s high by just 1 tick up to 2027.00.

Still, yet another intraday swing was overlapping 2019.50, instead of rejecting its resistance or breaking through it. ts room for noise up to 2031.75 should be tested just by formality.

With or without first probing fresh highs, falling at only a gradual slope wouldn’t be credible for extending down durably. But probing higher aggressively and avoiding a quick rejection would next target 2055.00.

Details and other markets coverage are discussed in the post-market Wrap recording here:
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This evening, monitor overnight Globex trading in the chaRTroom at:
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The bearish WedEX was influential Friday until the final hour. That’s when the last relative high at 2023.00 was exceeded, and its recovery was maintained through the close. The close extended up to 2026.00.

Absorbing the fresh high back under 2023.00 at Friday’s close would have maintained the bearish WedEX’s potential. Now it’s too late for that. Absorbing Friday’s late surge must be signaled by Monday immediately breaking back under bias environment’s 2012.75 low. At least, back under the noon hour’s 2015.75 low.

Maintaining a gap open under the bias environment’s 2012.75 low would also form a “session-long decline” setup. The bearish WedEX would likely compound the reversal, targeting the week’s 1982.50 low. Any shallower opening weakness would more likely recover and resume the rally.

Details and other markets coverage are discussed in the post-market Wrap recording here:
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REMINDER: This weekend’s Saturday Review begins at 9:30am ET. We’ll discuss the bigger picture targets for extending higher and the setups for reversing down. We’ll also review any stock chart requests:
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I began noting during the noon hour that if extending the rally through the noon hour wasn’t rejected, then its 2007.50 renewed bias-up target would be only a formality. Retesting the 2014.00 prior high would be only a formality. The market was on a mission to neutralize all upside attractions — probably including 2019.50 — and fast.

Fast is how it was done. Fast is how it had to be done. Wednesday’s decline had gained traction, which was bearish, so the only way to reject it was by gapping up Thursday. Similarly, exiting Thursday morning’s bias environment back under its fulfilled bias-up signal was bearish, so it could be rejected only aggressively, too.

Rallying relentlessly throughout Thursday’s noon hour was as aggressive as it gets. Extending higher relentlessly throughout Thursday afternoon’s bias environment maintained the aggression. Like the proverbial shark needing to continue moving to avoid rolling over, like Satchel Paige saying “Don’t look back, you don’t want to know what might be gaining on you,” Thursday’s rally can’t afford to hesitate if it intends to extend higher.

And since it gained traction — the bias environment was exited above the noon hour’s high and the final hour was entered even higher — the only way to reject it immediately is by gapping down under a prior timing window’s low. That’s at least 2000.00, if not lower.

Details and mention of the WedEX and other markets coverage are discussed in the market Wrap, which was held early due to a scheduling conflict. Its recording is here:
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This evening, monitor overnight Globex trading in the chaRTroom at:
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