Pre-market Tour

Expectations for repeating the post-Brexit rally have resurrected the excessive optimism that killed yesterday’s rally. The overnight recovery has extended to fresh highs testing 2116.00. Extending higher this morning would target “higher prior lows” at 2134.50, and then potentially retest the 2152.50 overnight high. Otherwise, exiting the open above 2104.50-2106.50 would still be bullish, but now that bullish scenario has become more difficult. Under 2097.50 would target 2091.00, and potentially 2077.50.

Details and other markets coverage are discussed in the pre-market Tour recording here.

Reacting back down to test 2123.50 hasn’t been retraced this time. Being this morning’s bias-down signal, not recovering it could extend down another 10 points. Similarly, holding its test would put into play an objective nearly 10 points above. The latter scenario would fulfill yesterday’s “session-long rally” influence by trending up the next morning, but this instance of the setup isn’t very reliable.

Details and other markets coverage are discussed in the pre-market Tour recording here.

The open is being greeted by firming back to the overnight range’s upper-end, attacking 2111.00-2112.00. Just holding 2108.75 should keep the bias upward, and also begin a corrective rally. Otherwise, the attraction to Thursday and Friday’s “lower prior highs” at 2094.00-2097.50 could come into play.

Details and other markets coverage are discussed in the pre-market Tour recording here.

Last night’s bounce had attacked 2087.00 before reversing down to 2080.50. Another bounce had attacked 2086.00 had been reversed down to greet the Employment situation report essentially flat at 2084.00. But you’d hardly know it by just looking at the chart without its time axis, as the 4-point swing before the news was simply repeated. Not until Perhaps realizing and becoming comfortable that no drop was imminent, a 6-point surge began 15 minutes later. It retested yesterday’s afternoon’s last relative high at 2088.00, whose recovery through the open would point higher intraday. Not recovering 2088.00, and especially after having held its test, keeps alive the downside potential to fresh lows.

Details and other markets coverage are discussed in the pre-market Tour recording here.

Hovering at the overnight recovery highs attacking 2099.00 has been supported by the 2095.50 bias-up signal. Not triggering it would put into play an offsetting test of the 2088.00 bias-down signal, but may as well target a probe under the overnight lows. So, rallying today requires not only avoiding negative territory through the open, but also may require triggering this morning’s bias-up.

Details and other markets coverage are discussed in the pre-market Tour recording here.