The First Trade… Hanging in there.

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…
Wednesday morning”s no-bias rally had been required to retest its 2091.50 bias-up signal, despite that rally having extended higher to attack 2099.00. Optimism ahead of the afternoon”s FOMC news couldn”t be bothered with resolving that, and greeted the news from 2096.00. As quickly as its knee-jerk reaction blipped-up 6 points to 2102.00, it was reversed down to 2091.50, Having neutralized the attraction below, rallying into the final hour probed fresh highs testing 2104.00. But the final hour itself ranged sideways back down to 2099.00.

Overnight action”s new info…
Room for a pullback was allowed down to 2096.00. It was tested twice after otherwise listless narrow ranging. An errant tick during its second test touched this morning”s 2095.50 bias-down signal, which reacted up into a rally up to fresh overnight highs at 2103.50. Without touching yesterday”s actual high, a reaction down has dipped to 2099.50.

If, then…
Having chipped away overnight at the 2096.00 pullback limit, attacking it through the open would be vulnerable to sliding through it — with its nearest objective being at least 12 points lower. Not touching it until after the open would more likely find its supportive power replenished, and capable of launching a new rally leg. Gapping up would also be credible for resuming the rally.

First Trade…
Exiting the open at 9:45 back above 2098.00 after testing 2096.00 would be unlikely to trigger the 2095.50 bias-down signal at 10:15. Exiting the open under 2094.00 would be likely to trigger bias-down. Exiting the open above 2108.00 would be likely to trigger the 2105.50 bias-up signal.