The First Trade… Eerily quiet on the Western front.

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…
Perhaps traction gained during Monday’s rally to 2068.50 was useful Tuesday in one sense — gapping open at 2057.00 exited the morning’s bias environment at 2057.00. But the afternoon bias environment’s entry found an air pocket under the morning’s 2052.50 low. A one-hour, 17-point slide exited the bias environment testing and retesting 2037.00-2038.00. The balance of the session ranged sideways back to 2045.00.

Overnight action’s new info…
Relatively narrow choppiness has remained within yesterday’s late range. Only briefly piercing above 2045.00, reactions down have only attacked Tuesday’s late lows.

If, then…
It’s important to note that overnight action following Friday afternoon’s 20-point slide had also ranged choppily ahead of the next open. That open greeted Monday at the same levels, then surged and extended through the morning and afternoon. Similar setups appearing consecutively tend not to resolve similarly. And the market is running out of bullish excuses to dismiss revisiting the prior Friday’s range. Gapping up above 2048.00 and extending through 2050.50 could marginalize sellers again. Otherwise, a morning rally would be unlikely without first rejecting a probe of fresh lows.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2037.25 would be likely to trigger the 2039.50 bias-down signal at 10:15. Exiting the open above 2046.50would be unlikely to trigger bias-down.