Market Wrap (recording & summary)

Headline surprises can derail a market from its path, but not from its outcome. We’ll never know whether Thursday afternoon’s no-bias environment intended to resolve up or extend sideways, had it not encountered the Trump-probe news.

The headline triggered a break under the no-bias environment’s 2755.00 bias-down signal. The drop tested 2746.00, and eventually fulfilled its requirement to retrace 2755.00. The low touched last Thursday’s “lower prior highs,” albeit several ticks short of actually filling its gap which is preferable. It was late enough to inhibit both reinforcements and counter-trend sponsorship.

Would the bias environment have resolved up to neutralize other unfinished business above at the morning’s 2767.25 overbought RSIs? If that buying pressure was expended to retrace the headline’s knee-jerk reaction, then a lower low down to the 2735.00 area is the next lower objective.

Last-minute moves into expiration can exacerbate moves. But regardless of the potential further downside, two consecutive closes under 2758.00 are still overlapping 2758.00, still allowing a new accumulative pattern to form.

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