Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the disable-gutenberg domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home4/jwl23/public_html/rd.johnlander.me/wp-includes/functions.php on line 6131
The First Trade.,, Healthy dose of pessimism? – If, Then… Market Timing

The First Trade.,, Healthy dose of pessimism?

By Rod David | May 28, 2015 - 7:18 am

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…
How volatile was Wednesday”s opening 15 minutes of volatility? The gap up to 2107.00-2108.00 resistance was rejected down to 2102.50, and then recovered up 2115.75. How much buying pressure was expended intraday? The morning”s consolidation resolved up to trigger another bias-up, and its 2124.00 target was met at the session high. How relevant is that level? It filled the gap back to Friday”s close, and its last-minute reaction down fell 4 points. No unfinished business was left outstanding above.

Overnight action”s new info…
.Wednesday”s late dip eventually extend down to attack 2117.50 support ahead of Europe”s opens, while China”s stock exchange crashed. Lower lows briefly touched 2115.25 and then reacted back up to 2120.00 resistance.

If, then…
.Leaving unfinished business helps trending to persist between sessions. So, neutralizing so many upside attractions yesterday has sent the recovery searching for another self-preservation technique. One of those is to search for buyers at a lower level. Determining the success of last night”s search may be as simple as recovering and defending positive territory through the open. The reward is new highs above 2134.00, and the punishment could be to retest Tuesday”s 2096.00 lows.

First Trade…
Exiting the open at 9:45 under 2122.25 after already touching it would be unlikely to trigger the 2127.00 bias-up signal at 10:15. Exiting the open under 2116.00 would be likely to trigger the 2117.50 bias-down signal.

Posted in S&P, The First Trade