Mid-day Update… Defensive posturing.

No morning rally, or downtrend.

This morning’s opening dip only came to within 1 tick of its 2642.00 bias-down signal. That didn’t stretched the rubber band tightly enough for a snap back up to its bias-up signal. But the gap back to yesterday’s 2652.00 cash session close was attacked to within 1 point.

Then another dip tested 2642.00, by almost 2 points as the bias environment lapsed. But it was too late to trigger bias-down. It was, however, late enough to extend down, but sellers lacked sponsorship. So another bounce is attacking 2652.00 to within 1 tick.

Anxiousness ahead of the 2:00 FOMC Policy Statement likely bears some responsibility for inhibiting trending in either direction. It may also be responsible for preventing a morning probe above yesterday’s highs. That inhibitor will soon resolve, and the door remains open to fresh highs.

Fresh highs aren’t required, and they’re not required to extend or even to be maintained. Regardless of fresh highs, back under 2645.00 would more likely launch a retracement of yesterday afternoon’s rally, at least to 2635.00.