The First Trade & Pre-open Tour Recording… Cuts both ways.
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…
Probing above Wednesday’s 2733.00 high Thursday morning was all but obligatory. Which almost happened, if not for the knee-jerk reaction to the North Korea news. The morning plunged from 2730.50 down to 2705.75. But it was a non-market headline, making its retracement likely. Which happened, to within 3 ticks. “Unfinished business above” was left outstanding at Thursday afternoon’s 2732.00 bias-up target.
Overnight action’s new info…
Flat-to-higher narrow ranging eked back up to Thursday’s 2730.50 opening high. And then higher, briefly consolidating at the 2732.00 unfinished business, and then spiking up to what is Friday morning’s 2737.50 bias-up target. Sliding down to 2728.50 into and out of Europe’s opens (defensive posturing) wasn’t recovered immediately. And it then it wasn’t recovered entirely, bouncing only to 2735.00 before reversing down under 2725.00.
If, then…
The attraction of yesterday’s “unfinished business above” at 2732.00 would have helped to resume the rally Friday morning. But its test is already fulfilled overnight, as is the likely probe of fresh highs. They’re not UNlikely to be tested intraday, but that’s not required. And their retests won’t be likely at all if the open is already breaking back under the earlier 2727.00 overnight low, which is now being probed. Remember that the bullish influence of a 3-day holiday weekend has been undermined twice, and a third time shouldn’t be surprising. Recovering from negative territory through or before the open to probe fresh highs would still be vulnerable to reversing down, but much less so.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2727.25 would be unlikely to trigger the 2730.75 bias-up signal at 10:15. Exiting the open above 2733.00 would be likely to trigger bias-up.