Post-open review… Everyone’s ahead of themselves.

Overnight drop is recovered, overnight recovery is retraced.

The pre-open bounce held its test of 2045.75 and reacted down to 2040.25. Being the “lower prior highs” of the overnight head & shoulders pattern, its support launched an obligatory bounce. 

It was quite a bounce, fulfilling its objective to test this morning”s 2050.25 bias-down signal as resistance. Just touching it was enough to end the bounce, triggering a reaction down. 

It was quite a reaction down, retracing all of the pre-open rally from 2036.25. Being the original 61.8% projection of the overnight head & shoulders pattern, its support launched another obligatory bounce.

At least, that”s the premise right now — that bouncing is only temporary. 

The overnight head & shoulders pattern did influence the opening 15 minutes of volatility, so it should continue influencing intraday action. And having bounced above its “head” after only a singular break lower met its 61.8% target, the pattern”s 161.8% 2034.50 and 261.9% 2030.75 targets are attractions.

But there is no required attraction below, at least not in any particular timing window. Exiting the bias environment at 11:30 back above its 2050.25 bias-down signal would suggest a much bigger bounce underway, targeting well into yesterday”s range. But the overnight lows should be retested eventually, anyway.