Pre-market Tour

RSIs diverged negatively at the rally’s retest of 1907.50. Its reaction has trended down to 1894.75. Greeting the open from above 1899.25 would help to attract post-open sponsorship to extend the recovery — filling the gap back up to Thursday’s ~1914.00 close would be the attraction. Otherwise, not recovering 1899.25 through the open would be attracted down to 1881.00-1885.00.

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

Did I say 1881.00-1885.00? While its recovery through the open would still be bullish, that’s become a little more difficult since another downleg is now testing 1863.00.

Air pocket pierced.

It’s still early enough that counter-trend sponsorship can’t yet be discounted. And it’s singular direction overnight trending keeps open the door to post-open reversal. Oh, and this is expiration, so, wild card.

Counter-trend sponsorship being a no-show, and not immediately reversing overnight trending, could end the day sharply, sharply lower. The up/down-crash setup is in its crash window. Oh, and wild card.

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

REMINDER: I’m away today for a 60-90 minute window before returning for the last 60-90 minutes.

Attacking the 1874.50 overnight low to within 1 tick is unlikely to form a durable bottom. But it has produced a big bounce. The 1897.75 overnight high is being attacked now to within 3 points. Just avoiding another dip into the 1881.00-1885.00 range would be bullish, potentially all the way up to the 1910.00 area.

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

The overnight dip from 1946.50 eventually extended down to 1932.50. That is a test of 1933.50 as support, which had been the objective of yesterday afternoon’s short-squeeze setup.

Its reaction up attacked 1944.00, still leaving enough time for another dip. That dip is testing 1938.00 as support, which had been significant resistance to yesterday morning’s gap up.

The dips and their reactions help to identify a pullback limit at 1936.00-1937.00. Opening any higher — or, at least holding 1936.00-1937.00 as support of a post-open dip — would be much more vulnerable to resuming the rally. The next higher objective remains 1948.00.

Back under 1936.00-1937.00 would start to suggest the rally signal is inverting for the morning.

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

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The overnight recovery back up to yesterday’s opening 1929.00 high has extended pre-open to 1937.50. It’s attacking relevant resistance from Friday afternoon at 1938.00, while also probing 1933.50. Either can reverse the market back down if their post-open tests aren’t extended higher through 9:45. Extending higher would have a big reward in mind for the effort.

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