The First Trade & Pre-open Tour Recording… Hugging the high.

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…
Tuesday gapped up at 2576.00 above Monday afternoon’s high, after Monday’s closing action had trended down, which formed a session-long rally setup. Which didn’t prevent immediately collapsing 34 points to test Monday’s 2550.50 close down to 2547.50. The balance of the session trended back up, each timing window probing the prior window’s high, leaving the morning’s bias environment as the one exception. The open’s 2576.00 gap up was probed by 1 point at the late high before dipping 2-3 points into the close.

Overnight action’s new info…
Tuesday’s late pullback extended slightly lower to 2568.50 and quickly reversed back up. Soon probing fresh highs, the recovery extended to test 2587.00 and ranged sideways through midnight. An eventual dip greeted Europe’s opens at 2575.50, back under yesterday’s late 2577.00 high. A 10-point bounce to 2585.50 has been retraced back under yesterday’s late high again to 2576.00. Overnight dips back under yesterday’s late 2577.00 high have come from probing above the open’s 2581.00 high. So far, overnight action has essentially fluctuated around yesterday’s highs.

If, then… (notes to accompany the Tour recording)
Overnight fluctuation around yesterday’s highs hasn’t extended, nor has it been rejected. And the overnight high is not a trend extreme we can rely on being retested intraday. But if it hasn’t created a vacuum that attracts the open up into it, then a weaker open would be vulnerable to forming a bearish Isolation setup, or even a Globex-flip. To the degree that Tuesday’s intraday recovery was a successful session-long rally, then fresh highs should be probed this morning. But there’s no other unfinished business above, so the overnight probes would suffice if the open forms a reversal setup. The overnight high even peaked upon testing this morning’s bias-up signal’s target. Meanwhile, closing yesterday above the 2548.00-2555.00 range has put into play 2606.00, subject to confirmation of a second consecutive higher close, or to being invalidated by closing back under 2548.00.

First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2580.50 would be likely to trigger the 2577.00 bias-up signal at 10:15. Exiting the open under 2572.00 would be unlikely to trigger bias-up.