The First Trade… Pins and needles.

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

CHARTROOM LINK
(pre-open Market Tour begins at 8:55 ET)

Through the prior close…
Tuesday’s “inside day” opened at 2079.50, well below its 2086.00 overnight high. Extending down into and out of Yellen’s remarks soon found support upon filling the gap back to Monday’s close down to 2074.00. Rallying through the afternoon bias environment’s exit peaked within 1 tick of 2086.00, reacting back down to 2079.50. Unfinished business below was left outstanding at 2070.75.

Overnight action’s new info…
Initially dipping a little deeper to 2077.00 gradually retraced much of Tuesday’s late dip, surging to 2084.25 at Europe’s opens. Reacting down sharply to 2078.25 was recovered entirely, blipping up momentarily to attack yesterday’s high within 3 ticks.

If, then…
Brexit and Yellen are again today’s main foci. Their near-term influence is fluid, but it is also expiring. The second half of Yellen’s semi-annual congressional testimony won’t be hanging over the market beyond noon. And Brexit’s results can become history after tomorrow evening. Yesterday morning’s reaction to Yellen’s rate hike defense was short-lived — today’s re-run could be very similar to last week’s FOMC policy statement by rallying temporarily into this morning’s comments. Brexit can only surprise bearishly, with the Ladbrokes / Betfair lines averaging 3.5-1 remain and 9-1 leave. The market still seems interested in retesting Monday’s 2092.50 high, as a detour on the way back down to 2070.75 and lower.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2088.00 would be likely to trigger the 2086.00 bias-up signal at 10:15. Exiting the open under 2081.25 would be unlikely to trigger bias-up.