Post-open Review… Deja voodoo.

Overnight rally repeats post open. Will the overnight rally’s failure repeat, too?

The pre-open drop seems to have repeated the decline’s mistakes of yesterday afternoon. It neutralized objectives below at the 1922.75 and 1928.50 bias-down parameters. And it did so by plunging aggressively after already having dropped 30 points from the overnight high. Capitulation without any lower attractions made it easier for price to rise, simply for lack of selling.

The open’s surge to attack 1937.00 was retraced to 1925.00 before resuming the rally. But the 1928.50 bias-down was recovered through its grace period, putting into play an offsetting test of the 1939.50 bias-up signal. That extended to the 1945.50 bias-up target.

Rallying 20 points in 45 minutes resembled the overnight rally. Exploiting the same conditions that the overnight rally had exploited. So, will the overnight rally’s failure repeat, too?

Already, the rally has retraced 13 points down to 1931.50. That’s testing yesterday’s 1931.00 cash session close. And that’s natural support.

So, it’s likely that one or the other is done, either sellers or the corrective bounce. Back above the open’s 1937.00 resistance would make the recovery credible for extending higher. But back under this morning’s 1928.50 bias-down signal could unleash new lows.