Market Wrap (recording & summary)

Wednesday night’s Globex reversal setup had told us already at the open that Thursday morning would behave bearishly. The morning did trend down sharply to attack 2750.00. The balance of the session ranged widely, correcting up to 2763.50 and then making two narrower swings in the range. The pattern formed a Symmetrical Triangle.

The last downleg from 2761.50 fell to the Triangle’s uptrending support at 2753.00. And broke lower to 2748.00. A couple of similar swings ended the day, closing back above the morning’s 2750.25-2751.50 lows, testing the Triangle’s uptrending support.

That wasn’t very satisfying. Not the morning, which was extremely well done. But the afternoon sellers gained traction in a way that usually trends down aggressively through the close. Trending down was aggressive, but brief, and held the range.

Regardless, sellers are credible for resuming the decline Friday, perhaps already gapping down although that’s not required after having gained traction. Avoiding fresh afternoon lows might have suggested otherwise, that the Globex reversal setup’s bearish behavior was limited to the morning. But maybe not. Otherwise, gapping up above 2763.50 or at least quickly recovering it may be the only bullish scenario going into the weekend.

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