The First Trade & Pre-open Tour Recording…

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

NEW DAILY SCHEDULE
First, watch the pre-open Tour recording HERE <<==
Then, meet in the chaRTroom here by 9:15 ET for updates and Q&A

Through the prior close…
The optimism inherent in Wednesday’s gap up was nevertheless restrained, peaking a couple of points under the 2370.25 overnight high. Gradually extending higher anyway had probed fresh highs up to 2374.50 during the noon hour. A pullback greeted the FOMC policy statement, which triggered a surge up to 2381.00. Yellen’s Q&A accompanied another pullback’s recovery to fresh highs attacking 2388.00. Overbought RSIs were left outstanding there ahead of a 10-point pullback into the close.

Overnight action’s new info…
The pullback into Wednesday’s close had targeted at least 2378.25. Just touching it at the Globex open was sufficient to reverse momentum back up. Europe’s opens were greeted back at 2385.50, on the way to fresh highs attacking 2389.00. The reaction down is so far holding a test of 2385.50 as support.

If, then…
Yesterday’s surge proves last week’s drop wasn’t going to break under “lower prior highs.” That was expected. But the past week’s bounce has yet to prove it can probe new highs up to 2401.00 or 2415.00. That’s also expected, but not required. Overbought RSIs at yesterday’s high is now neutralized, and substantial resistance at 2388.75-2390.25 has yet to break higher. Meanwhile, there is an immediate risk at the open for reversing a one-direction relentless overnight rally. I’ll be watching for any early reversal signals, and won’t necessarily be long in their absence.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2386.25 would be likely to trigger the 2384.00 bias-up signal at 10:15. Exiting the open under 2380.50 would be unlikely to trigger bias-up.