Market Wrap (recording & summary)

All of the overnight and intraday sessions following Tuesday’s plunge were spent in negative territory. Sharply lower lows were probed during both. Each bounced only to attack or to pierce Tuesday’s low. Even the late rally stopped 1 tick short of filling the gap back up to Tuesday’s 2472.00-2473.00 close.

It’s definitely pessimism. But is it bearish, or is it only “ineffectual pessimism”?

Remaining glued to Tuesday’s 2467.50 low doesn’t suggest the breaks lower have strong-handed selling sponsorship. The afternoon’s 2462.50 low holding 3 points above the morning’s low doesn’t reflect a lot of new selling pressure.

All of which would have been bullish going forward, until the late rally. While it only attacked yesterday’s close, it did at least attack yesterday’s close. With fresh session highs. Then futures continued climbing to attack 2474.00.

Sellers are too weak-handed to resume the decline without first bouncing, either to 2474.00 or to 2478.00. That said, that WAS said before the late rally had extended so far, and so late as to still be weak-handed. Gapping down Thursday under Wednesday afternoon’s ~2463.00 lows could form a “session-long decline” that launches the next downleg.

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

Monitor overnight Globex trading in the chaRTroom here.