Market Wrap (recording & summary)

The overnight rally didn’t start so late that it would be doomed to failure. But the open’s 11-point gain up to 2733.00 was reversed into negative territory at 2717.00. That leg’s timing should have doomed any other bounce to failure. But the NDX collapse that influenced it was waning, and soon another rally was probing the open’s high.

The bias environment wasn’t exited high enough to invalidate its “unfinished business” below at 2709.50. Which tells us that the interim rally is counter-trend. But it doesn’t tell us where the counter-trend rally will peak. The obvious attraction is Friday’s 2751.00 gap up above all prior highs, but that’s not necessarily where the next downleg begins.

Already, Monday afternoon’s bias environment has rallied to attack 2744.00. Overbought RSIs there require a retest, and the next higher attraction is 2748.00. Putting 2709.50 back into play first would require gapping down Tuesday back under 2731.00-2733.00.

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