Market Wrap (recording & summary)

Blame it on the trade war. Friday’s fresh high close at 2911.25, sufficient backing-and-filling behind it, was free to extend higher without delay. Buyers had not gained traction Friday afternoon, so immediately resuming the rally Monday required gapping up. Not gapping up would not resume the rally earlier than late-afternoon.

Monday did not gap up. In fairness to Monday morning’s buyers, Sunday night had gapped down, and stayed down testing 2904.00, in reaction to trade war headlines. Bias-up was probably not an option, but the morning’s 2907.00 bias-down triggered anyway when no-bias would have sufficed.

Despite already probing the morning’s 2900.25 bias-down target by 1 point, the afternoon’s 2901.50 bias-down triggered anyway. Its 2896.50 bias-down target was probed by 4 points.

Probing under 2897.00 without closing back above it does threaten to reverse the trend down. Post-close action immediately surged back up through 2897.00. Too little, too late, to establish a position of strength, but it may still help to absorb selling pressure from the post-close trade war headlines we were told are coming. Recovering Monday’s last relative high at 2903.00 at Tuesday’s open would now serve by proxy.

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