The First Trade & Pre-open Tour Recording… Fallen, and trying to get up.
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…
Thursday began with a clean slate, having neutralized two pieces of “unfinished business below” overnight and pre-open at 2703.75 and 2702.25. A lot of selling pressure had been expended during Globex just to get there. Holding those levels as support through the open would have established a floor for the day. But the gap down extended, setting the opposite tone for the day, and reinforcing the bearish WedEX. Trending down throughout the day to 2681.50 neutralized attractions below, like “lower prior highs” and filling the gap back to Monday’s close. Another opportunity to establish a floor, but even a 12-point spike up to 2699.00 was barely maintained through the close, reacting down to 2691.00.
Overnight action’s new info…
Globex’s initial objective was to retrace most of the 12-point spike up not already retraced intraday. And bouncing off of 2688.00 was mostly recovered back to the spike’s high. But another drop into and out of Europe’s opens retraced most of yesterday afternoon’s recovery back down to 2683.00. Its reaction has gradually worked its way higher, now testing 2696.00.
If, then…
Friday morning isn’t required to bounce, and yesterday’s headline reaction hasn’t brought in new sponsorship. Rallying this morning without gapping up would be doomed to failure, although rallying at all would still be challenged by the afternoon’s bearish WedEX influence. Maintaining a gap down under yesterday’s low would form a “session-long decline” setup, which can be magnified by expiration’s influence.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2685.75 would be likely also to trigger the 2688.00 bias-down signal at 10:15. Exiting the open above 2692.00 would be unlikely to trigger bias-down.