Mid-day Update… Break on through.

Overnight pre-plunge highs being exceeded.

Retracing the pre-open 49-point plunge from its 2627.00 low greeted the open at 2645.50, then retraced the rest by 2 extra points to 2679.50 soon after the session’s first hour lapsed. Ranging choppily flat-to-higher through the bias environment finally resumed trending coming out of the noon hour. Fresh highs have touched 2694.50.

Completing the retracement was no reason to expect trending attempts to end. Rather, the two legs told us that this environment is vulnerable to wide moves. The latest 17 points could suffice, or it could add another 4-6 points and attack or retest 2700.00.

RSIs diverged negatively on the latest blip-up to fresh highs, so upside momentum is being challenged. A pullback during the bias-up environment has room down to its 2676.75 bias-up signal just as noise without damaging the uptrend. But reversing down to 2676.75 AFTER the bias-up environment lapses would be less assured of recovering, and not protected from retracing much of the intraday rally.