Mid-day Update… Encroachment.

Not rejecting the dip back into Friday’s range.

This morning’s open shouldn’t have probed back under Friday’s 1981.00 high to be confident in the pullback holding. At least the probe was brief, and reacted up sharply to prove the level’s relevance.

In fact, the reaction up was 17 points, further proving the relevance of holding Friday’s range as support. But the reaction was only temporary. Deeper and deeper dips have been chipping away at its support.

This afternoon’s bias-down triggered under 1880.25. Its 1874.75 bias-down target held as support through 1:20 to avoid renewing the signal. Still, it’s a bias-down environment whose next lower objective is 1865.00-1868.00.

Exiting the bias environment at 2:30 back above 1881.00 would rob sellers of their traction. But momentum reversing up won’t be signaled under 1885.00.