The First Trade & Pre-open Tour Recording… Tip-toe, to the tulips.
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’s gap up to 2919.25 from a (two-day) multi-session range. Intraday reinforcements weren’t attracted to replace the relentless overnight trend’s retiring sponsorship. Similar to previous gaps up and intraday rallies, Tuesday’s fresh high quickly attracted overwhelming sellers that trended back down relentlessly into the last half-hour’s 2904.50 low. Its reaction recovered to test Monday’s 2910.00 close — which was still being overlapped up to 2912.00 at the close. Both the 2919.25 open’s gap up above all prior highs, and the 2921.25 pre-open “new Globex trend extreme,” were left outstanding, still requiring a retest.
Overnight action’s new info…
Several hours of sideways ranging between 2909.00-2913.00 suddenly spiked up to 2918.00. And then it gradually retraced back down to 2913.00, which held through midnight. Price action since then has steadily crept higher, and is now attacking 2918.00 to within 2 ticks.
If, then… (notes to accompany the Tour recording)
I’m reminded of the recent move, “A Quiet Place.” The trick to rallying post-open is not to make any noise that will get its sponsorship noticed. Gapping up by too much would once again be likely to attract distribution that pushes price back down. But gapping up within yesterday’s range — and not already reversing back down under a relevant level through the opening 15 minutes of volatility — would be likely to resume and extend the overnight rally through the morning. Likely objectives of yesterday’s opening print and pre-open highs could be probed up to 2926.50-2928.00 before the monsters sellers recognize strength to sell into. Otherwise, retracing too much of the overnight gains could also alert sellers that the bounce has already failed, and selling into it could fuel at least a retest of Tuesday’s low.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2916.75 would be likely to trigger the 2914.50 bias-up signal at 10:15. Exiting the open under 2912.00 would be unlikely to trigger bias-up.