The First Trade & Pre-open Tour Recording… Delay of game, over.

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

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…
Wednesday’s gap up above Tuesday afternoon’s ~2831.50 highs extended higher to attack 2840.00. That was 16 points above Tuesday’s close. Bullish? It was still essentially within Tuesday’s range, which was very wide and able to make bounces seem like strength. It was also a return of the ongoing 2-3 week pattern of rejecting early strength early — the setup that had told us last week the rally had become distributive. Its reaction down into the noon hour stopped 1 point short of filling the gap back to Tuesday’s ~2824.00 close. That optimism later proved bearish from a contrarian perspective. The initially favorable knee-jerk reaction to the afternoon’s FOMC policy statement was reversed down hard from 2835.00 to fresh lows at 2813.00. RSIs diverged positively on a retest of 2813.00, launching a late bounce above 2820.00 to trigger a rally with room up to 2830.00. It attacked 2832.00. the close reacted down to 2824-2825.

Overnight action’s new info…
Initially extending up to 2835.00 formed a Symmetrical Triangle that broke higher to 2837.25. The pattern’s breakouts are often false, and reversed more substantially in the opposite direction. As was this one, which retraced the breakout into Europe’s opens, and has since fallen to 2825.00. Which, regardless of the degree and duration of the drop, is back to unchanged from yesterday’s close.

If, then…
I was unavailable for more than annotating the live chart yesterday afternoon. But the market was accommodating enough to fulfill the eventual offsetting test of the morning’s bias-up target down to its 2814.50 bias-down target. The morning’s bias-up signal was never rejected to actually put that into play, although its support was likely to be influential if tested. And its support was influential in producing the late bounce. While that bounce put the market into proximity of gapping up Thursday above 2835.00 to reject the traction gained by yesterday afternoon’s sellers, it also expended valuable buying pressure. Gapping up any shallower — or not gapping up at all, still could probe lower lows down to 2805.00 or 2793.50.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2827.75 would be unlikely to trigger the 2824.00 bias-down signal at 10:15. Exiting the open under 2827.75 would be unlikely to trigger the 2830.00 bias-up signal.