The First Trade… One day wonder?

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…
Monday’s post-open rally had climbed 44 points into the 2154.00 bias-environment high. Ranging back down to 2150.00. The rally didn’t try resuming until the position-squaring window, which was too late to gain traction. Its surge up to 2156.00 touched some “higher prior lows” and reacted back down entirely to 2150.00 into the close.

Overnight action’s new info…
The late surge’s retracement extended down after the close. Its double-digit decline has been relentless, most recently touching 2135.50. Its reaction up had found resistance at 2139.00, which just blipped-up to touch 2141.50.

If, then…
Extending the overnight slide could greet Tuesday’s open gapping down under Monday afternoon’s 2130.50 low. If the gap down were maintained, the setup would form a “session-long decline.” Gaps down are difficult to maintain when begun by relentless overnight trending, which is vulnerable to counter-trend sponsorship. Otherwise, renewed bias-down still would point down, and still could produce a probe under yesterday’s 2110.50 post-open low, if not also under the 2100.25 overnight low. Having trended down so deeply overnight, today’s only path higher may be to avoid triggering bias-down, at all.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2139.00 would be unlikely to recover the 2141.00 bias-down target through 10:15 and to renew the bias-down signal next targeting 2134.00. Exiting the open under 2144.25 would be likely to trigger the 2147.50 bias-down signal. Exiting the open above 2149.00 would be unlikely to trigger bias-down.