Market Wrap (recording & summary)

Wednesday’s opening bar measured more than 2 points, and it overlapped the morning’s 2787.50 bias-up signal. That’s wide. And it was almost 7 points off the pre-open high which had printed not much earlier. Also wide. None of which was arbitrary, as the drop originated from within 1 tick of the morning’s 2794.50 bias-up target. Then the drop became a plunge, extending down to 2780.75. Wide.

The point being that a lot of selling pressure was expended in a relatively brief time frame. An important point, since it was totally absorbed, swallowed whole. Not only retraced entirely, but reversed by at least as much in the opposite direction. And the reversal persisted relentlessly into the final hour. That was quite a rubber band being stretch.

So, absorbing the opening dip was well-rewarded intraday. Not out of the ordinary. Only the wide swings make it unusual, but the ratios were not. “Unfinished business above” was resolved by retesting Tuesday’s 2800.75 opening gap, and ending at a new trend high close. Being within a prior session’s range does make the new trend high close less meaningful, but it qualifies.

Unfinished business below was left outstanding at 2772.50 by the morning’s no-bias trending. Meanwhile, having probed Tuesday’s 2808.50 prior high without closing above it, WedEX triggered passively bearish. Maintaining a gap up to new highs Thursday would change that to actively bullish, regardless of the session’s resolution. Regardless, the influence isn’t relevant until Friday afternoon.

• Details and other markets coverage are discussed in the post-market Wrap recording here.
• Monitor overnight Globex trading in the chaRTroom here.