The First Trade.

Proper context can start the day with a solid win and make all the difference.

Enter the Chartroom here (pre-open Market Tour begins at 8:55 ET)

Through the prior close…
Monday”s open gapped up from Friday”s test of the 2066.00 target. The morning”s bias-up signal was neither triggered nor rejected, which is a rare “noN-bias.” So was the afternoon”s bias, an even rarer one-day combination. That”s as much buying pressure as can be expend without gaining traction for the effort, and just enough to avoid attracting sellers. The anticipated template for a temporary bounce fulfilled only its bounce portion.

Overnight action”s new info…
Selling resumed immediately, dipping 3 points to 2075.50. A drop at midnight attacked Monday”s 2072.00 open. Despite ranging narrowly through Europe”s opens, the decline resumed one hour later — now fulfilling the template”s other portion by testing its 2060.00 target by 5 ticks.

If, then…
Yesterday I noted that the temporary bounce template was being slow-played, and a near-term probe under Friday”s low couldn”t be avoided. Saturday I had noted that the fresh low could form a bottom if it were not delayed. While Monday did delay the fresh low, its overnight test can be associated with Monday — which COULD still allow a near-term bottom to form. Relentless overnight trending can reverse sharply at the open, but usually not if the reversal hasn”t happened during the opening sequence.

First Trade…
Exiting the open at 9:45 back above 2072.00 would be the earliest indication that the 2065.75 bias-down signal might not trigger at 10:15. Exiting the open under 2064.25 would be likely also exceed the 2065.75 bias-down target through 10:30, which would renew the bias-down signal. Its renewed bias-down target at 2060.00 is already being tested pre-open, but its next lower targets would be 2056.00 and 2048.50.