Market Wrap (recording & summary)

Exceeding Monday morning’s 2435.50 bias-up target by 1 point through 10:15 renewed the bias-up signal. That’s more of a suggestion than a requirement, especially on a holiday-shortened session during a 5-day working holiday. Its reaction down formed a Symmetrical Triangle that broke sharply lower at noon down to its 2427.50 target.

A big snap back up was denied, despite testing “lower prior highs” down to 2426.50, and despite the drop being a knee-jerk reaction to a headline (re: ECB). RSIs were simultaneously oversold instead of diverging positively. Bouncing to 2431.00 resolved down to 2422.00 through the futures close.

Hold-short wasn’t overwhelmingly compelling, but could be considered with a bounce limit at either 2425.25 or 2427.50. Extending down at all would likely retest Friday morning’s 2418.50 lows, which offer little support if any, on the way down to fresh lows. Recovering Monday’s 2436.50 highs through any relevant timing window could instead end the two-week decline and rally back up to new highs.

HAVE A SAFE AND HAPPY INDEPENDENCE DAY!

Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.