Mid-day Update… A little too right.

The dive was exacerbated, but its recovery is a little much.

I’ve reiterated several reasons why the overnight plunge was exacerbated. Not that it couldn’t extend deeper intraday — today is the last day for correcting the recovery before holiday bullishness appears. But regardless of its depth or duration, today’s sellers would be trapped.

Already, that seems to be obvious. A little too obvious, a little too quickly.

After rejecting the open’s rally from 2078.50 back down to 2067.00, the minimum requirement for suggesting sellers were done was to exiting the bias environment above 2072.50. The bias environment began lapsing at 2077.00.

Then, the minimum requirement to keep price action trading flat-to-lower was to hold 2080.50 as resistance.  The noon hour was entered at 2082.50. This brings the session back to unchanged.

Regardless of its current upward momentum, rallying this afternoon still seems very premature. Back under 2080.50 would start to signal a dip back down to 2074.75 or 2072.50. Bias-up above 2082.50 at 1:20 would nevertheless get every benefit of the doubt.