The First Trade… Can it get even uglier than this?

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

CHARTROOM LINK(s)
o Win XP-Friendly entry
o non-xp friendly (ilinc)
(pre-open Market Tour begins at 8:55 ET)

Through the prior close…
Friday”s gap down extended Thursday”s break under 2035.00, which had pretty much been the massive topping pattern”s last line of defense. Trending down throughout the morning didn”t discount the bearish WedEX. The afternoon”s bias environment corrective bounce resolved down to resume the decline with a vengeance. Momentum and support break combined to suggest hold-short, especially with the bearish WedEX in-play.

Overnight action”s new info…
Sunday night”s open gapped down just 3-1.2 points from Friday”s 1968.00 cash session close to the 1964.50 bias-down signal. Extending down formed an otherwise large sideways range down to 1950.00. That broke lower to 1911.00 into and out of midnight. Bouncing since then attacked 1943.00 before reacting down 6 points.

If, then…
Whatever created the bearish WedEX at Wednesday”s close can still be influential after this much time, that much is common. A 166-point decline is a little less common, so the bearish WedEX”s contributing factors may have become moot. Bouncing 32 points from overnight lows does correct that decline to better enable the bearish WedEX playing out this morning as it commonly would. The Dow”s low was 525 points under Friday”s close, and doubling it would produce a 1000-point down day.

First Trade…
Exiting the open at 9:45 above 1945.00 would suggest extending the bounce to 1955.00 (1952-1957). Exiting the open under 1930.00 probably will trend down through the morning”s bias environment.