That’s what bias is. And isn’t.

Bias-up absorbs morning drop.

[pay]This morning’s blog post listed the qualifications that triggered the 1861.00 bias-up, and also described why bias-up wasn’t invalidated. I also pointed out why bias-up wouldn’t prevent the 1860.75 sell signal from being productive.

“Mixed signal city” was true to its name, as the 7-point drop from 1864.50 to 1857.50 is now retraced entirely.

But, wait, there’s more…

At least, that’s what this morning’s bias-up signal suggests. Its 1867.25 bias-up target is “unfinished business above. This afternoon’s 1863.25 bias-up signal didn’t trigger. This is actually a noN-bias environment, so the bias-up signal isn’t restraining fresh highs — but its target above 1867.25 need not be met.

And that’s what a bias-up is, and isn’t. It doesn’t prevent a dip, but it does offer context to build expectations for how a dip resolves.

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