Mid-day Update… Reaching critical mess.

Sloppy morning opens the door to paradigm shifting down.

The bearish WedEX wasn’t influential Monday morning. Until it was.

The first half-hour surged to fresh highs at 2840.50. Trending down throughout the morning had essentially required the opening 15 minutes of volatility to already be in decline. So, a 5-1/2 point dip was recovered to retest the high up to 2841.00.

Then the last half-hour of the bias environment collapsed, back down to the 2830.25 open. The bias environment made no net gain. And the exit even extended a little lower down to 2827.50. The bias environment finished lapsing at noon, back at 2830.25. So, WedEX was influential, however useless it was for having delayed its effect.

While WedEX’s relevance ends with Monday morning’s bias environment, the end of Monday morning’s bias environment is still relevant. The window isolated a failed probe of fresh highs, suggesting a near-term peak. And the reaction down’s test of relevant structural support — the 2830.25 opening print, which was also Friday’s futures close — was still being tested at noon, and not itself isolated.

Now this afternoon’s no-bias environment is testing its 2836.25 bias-up signal as resistance. It should define the window’s upper-end. This makes it a good candidate for being a corrective bounce’s peak before resolving down to fresh session lows. So, we’re monitoring for any credible reversal down that could snowball aggressively. Otherwise, exiting the bias environment in rally mode would be bullish.