The First Trade & Pre-open Tour Recording… It’s baaaack.
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…
Thursday night’s relentless trending into Friday’s gap up to 2767.00 was the basis for a session-long rally setup that only needed to be maintained, if not also extended. It was barely maintained, and was not extended. Reacting down to 2757.00 was fully recovered to 2767.00, where Friday Factors inhibited volatility through the balance of the session. At least, until I left the screen early. My final comments warned of greater risk down to 2758.00-2759.00 than up to a fresh high, but also the difficulty to producing either before the close. That didn’t prevent a late drop to attack 2755.00. Its break was too late to form a hold-short, but its reaction entered the weekend at 2759.00 — that was the potential drop’s target, and not recovering it opened the door to extending down. Ultimately holding 2756.00, but not recovering 2767.00, changed nothing about buyers still not regaining control. However, it did require sellers to prove without much delay that they’re still in control.
Overnight action’s new info…
Friday’s late drop probed lower immediately Sunday night. Probing under 2755.00 soon collapsed to test 2743.00, Consolidating back to 2749.00 gradually started breaking lower to eventually attack 2739.00. Its reaction has bounced up to 2746.00.
If, then…
Tuesday night’s action had warned volatility would be expanding sharply. Which it did, all the way through Thursday’s close. Last night’s relentless trending and productivity of that trending suggests the volatility has resumed. Separately, Thursday’s close had warned that lower lows were underway. Friday’s gap up had all but rejected that, but didn’t exploit it. Not, yet. Meanwhile, last night has trended relentlessly. Thursday night’s relentless rally didn’t extend Friday, but last night’s relentless trending has the benefit of greeting maximum liquidity instead of minimum. That said, not trending down through the open could undermine the pattern.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2747.75 would be unlikely to exceed the 2746.25 bias-down target at 10:15 to renew the bias-down signal. Exiting the open under 2750.50 would be likely to trigger the 2753.00 bias-down signal at 10:15. Exiting the open above 2756.00 would be unlikely to trigger bias-down.