The First Trade… Bubbling up.

Proper context can start the day with a solid win and make all the difference.

CHARTROOM LINK
(pre-open Market Tour begins at 8:55 ET)

Through the prior close…
Simply not gapping down Friday was already unlikely to resume Thursday’s decline. Greeting the open unchanged around 2058.00, but having pulled back from an overnight rally up to 2165.00, Friday rallied throughout up to 2169.00..

Overnight action’s new info…
Opening flat Sunday night around 2168.00 eventually surged to fresh highs at 2172.50. That was retraced as quickly, and soon reversed into negative territory. A blip-down testing 2163.75 in reaction to Europe’s opens was recovered to 2171.25. That has returned back down to 2168.00 instead of yet extending higher.

If, then…
The overnight high was not complex, so it was not a “new Globex trend extreme” that would otherwise require intraday retest. But it’s likely, anyway. Even without Friday’s rally gaining traction, potential remained intact up to 2171.25. Further potential up to 2175.50 became likelier for having absorbed Thursday’s detour down to 2153.50 and to compensate for a terror-related event in Munich having inhibited Friday afternoon’s rally leg. Not holding last night’s low could trigger a morning pullback instead.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2162.00 would be likely to trigger the 2163.75 bias-down signal at 10:15. Exiting the open above 2168.00 would be unlikely to trigger bias-down. Exiting the open above 2171.25 would be likely to trigger the 2169.00 bias-up signal.