Post-open Review… Not painful enough.

Expending energy just to avoid a deeper dip.

The more things change… Last night’s gap down to 2700.00 was being attacked by a 9-point pre-open dip from overnight highs. Last night’s reaction to its 2700.00 open extended down 18-19 points. This morning’s reaction to its 2700.00 open has extended up 18-19 points.

The 2717.00 bias-down signal triggered cleanly at 10:15. It was still being overlapped at 10:30 to avoid being invalidated. This is a bias-down environment, whose target has been met. The 2707.00 target need not be retested, and it need not hold if retested. But the window’s upper-end should ultimately be defined by 2717.00, or require its retracement — if not also to its 2710.25 10:15 print.

Meanwhile, I discussed two likelihoods during this morning’s Market Tour: That the post-open crowd wanted to express its own concerns over the same news that had triggered last night’s gap down. And that this was likely from testing 2713.25, if not 2718.75.

The session’s first 45 minutes was a 7-point choppy range around 2713.25. Now a late surge is probing 3 points above 2718.75. It’s already required to retrace back down to 2717.00, if not also to 2710.25. Back under 2715.25 would start to signal momentum reversing down. Otherwise, maintaining the recovery above 2718.75 would target a probe above yesterday afternoon’s 2731.00 high.