The First Trade & Pre-open Tour Recording… Turn of events.
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 morning’s wide swings triggered multiple signals, up and down, that all produced multi-point moves within minutes. They all also reversed to and through their triggers, substantially. Trump threw a China trade tweet into the mix, creating a bottom at 2708.00 and a surge through the 2720.00 open to 2731.00. Wide swings were replaced by grinding higher through the morning bias environment, noon hour, and afternoon bias environment. Multiple opportunities were ignored to accelerate the pace, finally breaking higher after becoming too late to gain traction for the effort. A very late blip-up to the 2741.00 objective was consolidated through the close.
Overnight action’s new info…
A Tale of Two Markets. First, AAPL’s earnings disappointed as its chart had suggested, triggering a reaction down to Thursday’s 2726.00 opening highs. Globex immediately probed lower to 2723.00, and just as quickly began firming up to 2730.00. A surge attacked Thursday’s high before retracing back down to 2730.00 by midnight. And then came the news — another favorable China trade headline, which triggered a 14-point spike up to 2747.75 that extended another 17 points to test 2764.00, ranging sideways since Europe’s opens. There’s room for noise to fresh highs at 2766.50.
If, then… (notes to accompany the Tour recording)
Closing above Wednesday’s 2737.00 high would have been bullish, had the breakout been underway prior to ignoring the timely breakout opportunities. Breaking higher later isn’t strong-handed sponsorship. So, now trading higher overnight — regardless of by how much — the question is whether yesterday’s post-close dip neutralized the late breakout’s “ineffectual optimism,” which would next target 2773.50 and 2786.75. Otherwise, yesterday’s late ineffectual optimism could apply as much to AAPL’s earnings as to this morning’s Employment Situation report. And any initial weakness would be credible for extending down, confirmed under 2750.75, and targeting 2729.00-2731.50.
First Trade…
[Click here to view the Bias parameters] Preliminary indications are normally unavailable prior to Employment Situation reports. However, relevant levels above are 2773.50 and 2786.75; relevant levels below are 2750.75 and 2733.75.