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…
Friday”s open ignored the traction gained by Thursday”s session-long rally. The open gapped down a couple of points to 2055.00 and then trended down through the morning to 2032.50. The noon hour”s bounce to 2042.00 was retraced back down to the low, and bounced back up to the noon hour”s high — typical Friday afternoon ranging. A late break higher to 2048.25 was retraced back down to the noon hour”s 2042.00 high.

Overnight action”s new info…
Friday”s late failed breakout was retraced another 5 points through Sunday night”s open to attack 2037.00. The balance of the night has rallied. Consolidating just under Friday”s late high into and out of Europe”s opens, eventually launched a breakout up to 2052.50. It has since served as resistance, while this morning”s 2049.00 bias-up signal has been serving as support.

If, then…
The overnight rally got within 4 points of Thursday”s close. Gapping up above it, and also above the 2055.25 bias-up target, would all but negate any near-term bearish consequences of Friday”s session. But remember that greeting the new week with extreme sentiment often proves to be a sentiment extreme, so not extending higher from the gap up would reinforce Friday”s bearish consequences.

First Trade…
Exiting the open at 9:45 above 2053.00 would be likely also to trigger the 2049.00 bias-up signal 30 minutes later at 10:15.Exiting the open back under 2045.75 would be unlikely to trigger the 2049.00 bias-up at 10:15