Market Wrap (recording & summary)

How much optimism can still be “ineffectual optimism”? Wednesday night’s example was a sideways range in positive territory that never trended up, and finally collapsed before Thursday’s open. Thursday morning’s example was the collapse’s recovery, but not of the overnight range.

Then came Thursday afternoon.

A buy signal triggered above 2710.00 targeting the bias environment’s 2715.00 bias-up signal. Which extended quite a bit higher through the bias environment lapse, up to 2726.25.

11 points above 2715.00 doesn’t seem ineffectual. But the close dipped back under 2718.00. And the bounce essentially completed a 61.8% retracement back to Wednesday morning’s high.

Meanwhile, buyers gained traction for their efforts, exiting the bias environment above the noon hour’s high and entering the final hour higher. Sellers did the same thing Wednesday, and were rewarded with the morning’s temporary collapse. Closing under 2718.00 could be a position of weakness that dooms to failure an early attempt to extend Thursday’s rally Friday. Unless Friday’s open collapses back under 2710.00 to negate Thursday afternoon’s traction.

The late pullback left outstanding a Close-quarters Double Top which is usually retested. That’s not required, but it keeps alive the upside resolution first. And being a Friday, an attempt to extend Thursday afternoon’s would be vulnerable to extending higher into the afternoon.

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