Market Wrap (recording & summary)

The afternoon’s noN-bias environment reacted down from the noon hour’s 2515.50 high. A sell signal at 2512.50 was touched, but not pierced, avoiding a break lower. The morning’s 8-10 point rally was vulnerable to an afternoon break lower, but there was no shortage of optimism to prevent it.

Optimism aside, there is “unfinished business below.” The morning’s rally was “no-bias trending” above its 2509.50 bias-up signal. Its retracement is required, if not also the 10:15 bias timing window’s 2408.00 print. As an example, Wednesday’s no-bias trending was retraced overnight, and held as support. Retracing Friday’s no-bias trending need not hold.

Meanwhile, Friday’s new trend high close entrenches the rally. At least one more new trend high close is required. That doesn’t prevent an immediate pullback, whether lasting multiple hour or multiple days. It only prevents an immediate pullback from extending down durably.

Lower-volume sessions can cut either way. Friday afternoon’s dwindling participation ahead of the Yom Kippur holiday may have prevented the morning’s rally from extending. It also could have enabled its retracement. Monday’s higher-volume session will be more telling.

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

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