Market Wrap (recording & summary)

Happy Passover to those subscribers celebrating this evening and this week.

Ranging through Monday afternoon’s bias environment, and into the final hour, is the opposite of trending. It’s consolidating. Consolidating entirely in positive territory is a sort of anchoring. Strong hands don’t typically wait until the session’s last possible window before breaking lower, not from an anchored consolidation in positive territory.

That describes Monday’s late dip. It began from the upper-end of the afternoon’s 2354.50-2360.00 range, collapsing to its lower-end during the 3:10-3:20 proxy window. Still in positive territory, the 3:37-3:52 position-squaring eked out fresh afternoon lows down to 2351.75. Still in positive territory.

Anxiousness ahead of Yellen’s post-close speaking engagement? Some quarterly earnings due? More global geopolitical concerns? Limited participation ahead of the evening’s Passover holiday celebrations? Whatever prevented resolving up through the close, it wasn’t able to turn the market negative.

Of course, there’s nothing inherently bullish about closing unchanged. Regardless of the potential downside that was avoided, the market remains in proximity to starting down that road.

Monday’s open needed only to avoid initial weakness for maintaining the potential of a morning rally. Due to probing above Thu-Fri ~2361.00 highs without closing above them, Tuesday’s open needs to rally quickly, if not already be rallying overnight. The only unfinished business is above, now at 2362.75 in addition to 2364.50. Opening lower anyway would be bearish.

Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.