Market Wrap (recording & summary)

Thursday’s open was the first in several sessions not to be greeted optimistically. Probing fresh lows overnight down to 2476.50 had recovered to form the basis of an Isolation setup. Bouncing to 2418.00 came too early to attract necessary reinforcements, and the setup failed. Its resolution was as bearish as it would have been bullish, trending down sharply to 2441.00 before the afternoon bias environment began lapsing. Its reaction up to 2490.00 held prior resistance, chopping wildly back down to 2456.00 through the close.

Thursday’s lack of excessive or ineffectual optimism included rejecting one or two potentially bullish opening setups. All of which suggests that the decline is nearing a capitulative or exhaustive phase, just in time for Friday afternoon’s bearish WedEX influence. But I would still watch for bounces as the holiday illiquidity gets exponentially closer — Thursday met and held decline’s next major target at 2453.25, which could be leveraged for a counter-trend rally.

Regardless, 2453.25, like the decline’s prior objectives, didn’t close above a prior relevant level (e.g. 2500.00) that could have started sealing a bottom. Anyway, trend lows don’t coincide historically with expirations. None of which precludes bounces, but nothing durable is likely near-term.

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