The First Trade & Pre-open Tour Recording… Bigger fish.

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

DAILY SCHEDULE
First, watch the pre-open Tour recording HERE <<==
Then, meet in the chaRTroom here by 9:15 ET for updates and Q&A

Through the prior close…
Monday’s excessive optimism had continued its productivity post-close, probing higher overnight to 2799.00. Reacting back down into negative territory at 2785.50 was recovered in time to avoid a bearish opening setup. Its reward was to probe even higher highs attacking 2803.00. But ultimately the opening levels around 2793.00 were retraced.

Overnight action’s new info…
Tuesday’s last 60-90 minutes had dipped back down to session lows at 2793.00, reacting up to 2800.50. Globex immediately dipped again and extended down — albeit choppily — to attack 2788.00. Already firming into midnight, the balance of the session has trended back up to now probe above 2800.50 to 2802.00.

If, then… (notes to accompany the Tour recording)
Perhaps anxiousness ahead of the Brexit vote inhibited the extension higher, and then limited the reaction down. Not surprisingly, reaction to the heavily-watched event contained fewer surprises than did its pre-ordained outcome. The overnight round-trip suggests there won’t be initial downside. Rather, the dip may have wrung out yesterday’s anxiousness, and the indicated open is postured to attack yesterday’s well-worn highs. Probing higher this morning might reverse down from testing 2811.25-2812.00, because last night’s shallow dip didn’t stretch the rubber band very much. Otherwise, probing any higher after a shallow pullback would reflect more excessive optimism like Monday — and also like Monday, extend higher steeply. So, a steep slope attacking 2811.25-2812.00 would be likelier to extend higher.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2797.50 would be unlikely to trigger the 2803.75 bias-up signal at 10:15.