Market Wrap (recording & summary)

Tuesday’s open ran into the same challenge as Monday, having trended down overnight. Post-open action differed slightly, first probing lower before recovering, unlike Monday’s impatient premature rally. But their recoveries resumed their similarities, with the morning’s high once again essentially defining the recovery’s peak.

An important difference between the recoveries’ peaks is that Monday repeatedly probed higher, while Tuesday barely attacked the morning’s high on several attempts. Monday’s ineffectual optimism was one marker of its tenuousness, which was proved by completely retracing its recovery. Tuesday’s pessimism can still prove to have been bullish from a contrarian perspective, by rallying overnight.

Time is growing short — if it hasn’t already grown too short — for a retest of last week’s highs and another downleg to be done by next Tuesday afternoon. Skipping the highs and only declining could extend very deep before the holiday’s seasonal bullishness intervenes.

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

Monitor overnight Globex trading in the chaRTroom here.