Post-open Review… Warning shot.

Pre-open dip holds support.

Attacking yesterday’s low down to 2355.25 a couple of hours before the open did not extend. Bouncing greeted the open essentially at 2357.50, which is yesterday’s afternoon bias environment low.

A “session-long decline” setup had formed. But would it trigger? Holding the prior low’s test would accomplish the opposite effect. Expending enough selling pressure to produce all off the setup’s bearish elements, but not exploiting it, would be a gift to buyers.

In fact, post-open action did not extend down under 2357.50. Fluctuating between 2356.00-2359.00 ultimately held the 2356.75 bias-down signal’s test, putting into play an offsetting test of the 2366.00 bias-up signal. Already, fresh post-open highs are printing 2361.50.

The session-long decline setup wasn’t optimal. Yesterday’s futures did slide sharply, hiding the gap down. So, the consequence of a session-long rally isn’t reliable. Nevertheless, we’ll monitor for that potential of probing fresh highs through all but one intraday timing window.

Regardless of its degree and duration, a recovery is likely so long as 2357.50 holds as support. The recovery must create some new higher attraction to maintain the rally, or else this morning’s weak open will have been only a warning shot across the bow.