Post-open Review… Trying support.

Bias-down signal holds multiple tests. And still being tested.

My pre-open update noted that the 2828.50 bias-down signal was unlikely to trigger ahead of FOMC. Sponsorship is difficult to generate ahead of an event. It wasn’t even near being tested as the pre-open pullback had tested and retested 2834.00. But a post-open collapse from the 2836.50 open pierced 2828.50.

Its test held, reacting up to 2832.00. As did the next deeper test. One more test after invoking the grace period touched the room for noise down to 2825.25, and recovered enough to avoid triggering bias-down. An offsetting test of the 2842.25 bias-up signal is in-play, but 2828.50 was tested again.

Perhaps the choppiness and delay is the effect of Brexit headlines crossing during the open. But the opportunity for strong hands to have signaled a bearish sentiment has passed, at least until backing-and-filling to resistance, at least with any confidence.

At least a bounce up to 2837.50 remains likely initially, so long as 2828.50 continues holding as support. But only so long, as not yet rallying off of 2828.50‘s tests when the bias environment starts lapsing would suggest that patient buyers are letting sellers have more room.