Post-open Review… A Rubicon too far.

Breaking too much resistance, too quickly.

Potential for noise above the overnight high’s China trade new reaction was attacked (to within 1 tick) at 2765.25. Its reaction down was underway already to greet the Employment Situation report at 2756.50. The reaction continued trending down into the pre-open’s test of this morning’s 2747.75 bias-up target as support.

Still well above yesterday’s 2741.25 highs. But the post-open bounce only retraced the payrolls 2756.50 origin, and resumed its reaction down. The 2740.50 bias-up signal triggered cleanly, only to be invalidated by breaking under it decisively through 10:30. Offsetting tests of the 2731.75 and 2721.50 bias-down parameters weren’t required, but they were met (to within 1 tick) anyway. Oversold RSIs require the low’s retest.

All of which sliced through “lower prior highs” at 2737.00-2738.25. They would usually be allowed to influence the drop. Lower lows remain possible, especially so long as bounces now hold 2733.75 as resistance (being tested now). But a bigger corrective bounce would have room up to 2741.00-2743.00.

Back under 2727.75 and 2725.25 would start to signal the decline extending — especially during the bias environment lapsing and noon hour entry. This is Friday, so Friday Factors apply, like the morning’s bias signal persisting through the noon hour.