The First Trade & Pre-open Tour Recording… That’s going to leave a mark.
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 reversal from its 2814.00 recovery high had extended down overnight to 2783.25. Perhaps it was a the product of anxiousness ahead of Tuesday morning’s Fed Chair Senate testimony. Firming back up to 2791.50 at the open put into play a test of 2802.00, which was met at the 2803.25 late-morning high. A mid-day dip was recovered coming out of the environment to retest the morning’s high. But no higher, and the last half-hour trended back down to 2791.50, flat with the open.
Overnight action’s new info…
Tuesday’s late slide didn’t hesitate before extended lower to quickly print 2786.50, or before reacting back up to 2791.50 resistance. Not very interesting until trading on the CME was halted around 7:40 pm ET, leaving a 3-hour hole in the charts. Testing 2793.25 before and after midnight collapsed to test and retest Monday night’s 2783.25 low. Bouncing 4 points through Europe’s opens was resolved back down again, this time to test Friday afternoon’s 2781.50 low. Now another bounce is testing 2786.00.
If, then… (notes to accompany the Tour recording)
Retesting Monday night’s dip isn’t surprising. Yesterday’s intraday recovery was rewarded only with choppy sideways ranging. Its retest by proxy or by probe was likely. Opening back above Tuesday’s 2789.50 low could isolate the weakness to help launch a retest of Monday’s highs. Otherwise, lower lows have room down to 2777.00 before suggesting the drop from Monday’s highs is heading for 2754.00. The catalysts for volatility still include today’s 10:00am Fed Chair testimony, Turmp’s Hanoi visit, and escalation of the India-Pakistan conflict.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 under 2781.50 would be likely also to exceed the 2784.25 bias-down target through 10:15 to renew the bias-down signal. Exiting the open under 2788.00 would be likely at least to trigger the 2790.75 bias-down signal at 10:15. Exiting the open above 2794.00 would be unlikely to trigger bias-down.