Market Wrap (recording & summary)

The entire bearish scenario played-out Wednesday, to a point. From the first intraday test of 2471.00-2473.50 and holding it, to reversing down into the afternoon, structure and calculation observed the topping template.

But rather develop organically. the reversal down was triggered by headlines. That knee-jerk reaction crowd created an artificial response. It was very productive, but not necessarily strong-handed sponsorship. Dropping down to 2462.50 when the bias environment lapsing came within view did not attract reinforcements when the window’s lapsing actually began.

That’s a bullish setup, and entirely credible in context of the news reaction that crowded out sellers. But the last downleg was only retraced 61.8%, and not actually reversed. So, if sellers don’t retake control overnight, then Wednesday’s highs will be either attacked or retested.

Meanwhile, the WedEX (Wednesday Expiration) signal triggered, passively bearish. I describe why in the Wrap video. Also described there is why the signal can become actively bullish by proxy of gapping up to Wednesday’s highs.

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

Monitor overnight Globex trading in the chaRTroom here.