No-bias rejected.

Holding the bias-down signal earlier didn”t prevent breaking it later.

I had noted in the chaRTroom that exiting the bias environment above or below 2079.50 would be worth 12 quick points, either exploding up to 2091.00, or else plunging much closer to retracing all of last week”s FOMC reaction.

The bias environment exit at 11:30 slid down sharply to 2067.00.

How did this happen, if holding a test of the 2079.50 bias-down signal through 10:15 put into play an offsetting test of the bias-up signal? Every signal can be invalidated. But there”s more to this than that.

Not only was this morning”s signal invalidated, so was its improvement. I”m referring to the extra gain past 10:15. That made it more difficult to invalidate whatever had been signaled at 10:15. Now the bias environment had to be exited under the open”s 2078.50 low, and not only under the bias-down signal.

These are pretty serious sellers. They”ve already overcome accumulation that has left outstanding two pieces of unfinished business above. And now they”ve also broken the uptrend since March 11”s 2030.50 low. 

I”ve already begun describing the character and consequences of what to expect. Be sure to attend the post-market Wrap for a review.