Post-open Review… Still in the woods.

Post-open bounce only delays the inevitable.

We knew that 2841.00-2843.00 was likely to be tested as compensation for the delay in testing 2851.00-2852.00. So, has probing another 10 points lower over-compensated, or is that the start of something much deeper?

Ranging around 2841.00-2843.00 expanded into the open. Resistance at 2843.75 repeatedly held, and repeatedly reacted down to lower and lower lows. The last reaction was the steepest and deepest, dropping 8 points to attack 2835.00 in a half-hour.

Bouncing into the open was essentially doomed to failure. Significant overnight moves — especially down — tend to require that the intraday crowd produce its own extreme. The post-open bounce up to 2841.50 only delayed the inevitable, and eventually collapsed down to 2832.00.

Now another bounce attacking 2840.00 is trying to recover. The impediment of requiring fresh post-open lows is done, but it took so long that counter-trend (up) sponsorship is less credible. Bounces are likelier to fail, and another fresh low is likelier than not.