The First Trade… Drifting isn’t trending.

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…
Sunday night’s rally into Monday’s gap up at 2158.00 wasn’t done. The open extended to 2163.50. Then it was done. Depressed holiday volume limited new sponsorship for anything more than hovering at the highs. That ended with the renewed bias-up environment, and the balance of the session drifted down to its 2156.50 objective. Surging into the futures close came too late to reverse momentum up. No unfinished business was left outstanding.

Overnight action’s new info…
Firming a couple of more points soon attacked 2161.00. Like Monday’s intraday action, the balance of the night has resumed drifting downward. Hovering around the support of this morning’s 2154.25 bias-down signal was probed momentarily to attack 2152.00, but 2154.25 has attracted price back up to it.

If, then…
Spending the entire session in positive territory yesterday didn’t gain traction for its effort, so resuming the rally to fresh highs this morning depended on gapping up above yesterday’s highs. And that’s not likely without already probing higher overnight. The alternative isn’t necessarily bearish — Sunday night’s rally hasn’t been retraced even after extending yesterday afternoon’s drift overnight, expending a lot of selling pressure without gaining traction for its effort. So, not quickly rejecting the overnight dip would more likely only back-and-fill a little deeper this morning, as opposed to launching another downleg. Quickly rejecting the overnight dip could at least spend the morning rallying back to yesterday’s highs, just not through them.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2157.50 would be unlikely to trigger the 2154.25 bias-down signal at 10:15. Exiting the open under 2151.25 would be likely to trigger bias-down.