The First Trade & Pre-open Tour Recording… No bargain, apparently.
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 bigger and bigger legs confirm that volatility remains very much alive. The overnight drop from Friday’s 2759.00 close had extended to 20 points attacking 2739.00. The morning’s 2746.25 bias-down target provided one last bit of post-open resistance to launch a 26-point plunge attacking 2720.00. Another bounce resolved down sharply, too, falling 27 points to test 2704.00 into the noon hour. One more 21-point drop during the afternoon bias environment retested the morning’s low down to 2700.50. Its reaction was the most productive, bouncing through the final hour back up to 2725.00 which overlapped the afternoon bias environment’s 2721.75 interim high.
Overnight action’s new info…
Monday’s intraday volatility continued overnight, albeit not at first glance. Ranging round Monday afternoon’s 2721.75 bias environment high persisted through Europe’s opens. No longer trending might seem non-volatile, but each interim swing has reached a higher high or higher low than its last. More so, Europe’s opens were greeted with a fresh overnight high at this morning’s 2728.25 bias-up target, and its reaction just touched a fresh overnight low at 2714.75.
If, then…
Yesterday’s final hour bounce had probed the afternoon’s prior high, and not just briefly. Closing above it was entirely possible, if the bounce’s buyers had been bullish. Apparently, the deep drop still wasn’t considered to be enough of a bargain. Since buyers didn’t gain traction, extending the late bounce without delay this morning would require gapping up. The decline is otherwise likelier to persist, which would also be much more credible this morning if begun without delay or by gapping down. Also considering the overnight volatility, early trending would be credible for extending.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2715.00 would be unlikely to trigger the 2713.00 bias-down signal at 10:15. Exiting the open under 2720.75 would be unlikely to trigger the 2722.50 bias-up signal.