The First Trade & Pre-open Tour Recording… Not so fast.
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 night’s drop to 2780.50 had stabilized 7 points higher, but that was still under Tuesday’s close and in negative territory. A post-open surge to 2792.50 essentially erased both, but only momentarily before collapsing to test the next lower objective at 2777.00 thanks in part to China trade headlines. The objectives test and retest were isolated to the bias environment, inhibiting more sponsorship for the day. The balance of the session rallied up to 2796.25, back in positive territory and above the open’s initial high. The cash session close was still overlapping Tuesday’s 2791.50 open and close, part of the problem that had led to Tuesday night’s decline.
Overnight action’s new info…
Post-close action had extended another point up to 2797.25, which the Globex open quickly rejected on the way back down to 2790.00. Hovering there shallowly through midnight began accelerating the pullback to attack 2781.50 into and out of Europe’s opens. RSIs diverged positively to enable a bounce that has been testing and retesting 2788.00.
If, then… (notes to accompany the Tour recording)
Yesterday’s recovery had stopped short of levels that would ensure extending higher without delay. But it recovered enough to allow room for a reaction down to be only a temporary pullback, without yet extending the decline to 2754.00. The overnight drop so far is contained entirely withing yesterday’s range, and nothing yet requires probing either end of it. But both bias-down parameters have been attractive, and the 10:15 resolution to their test might be the next signal either way.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2791.50 would be unlikely to trigger the 2788.00 bias-down signal at 10:15. Exiting the open under 2784.25 would be likely to trigger bias-down. Exiting the open under 2780.50 would be likely also to exceed the 2781.50 bias-down target through 10:15 to renew the bias-down signal.