The First Trade & Pre-open Tour Recording… Volatile, to the last drop.
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…
Snatching defeat from the jaws of victory! An overnight rally had postured Thursday’s open to challenge Wednesday’s 2762.00 high only 90 minutes earlier. Then headlines triggered a plunge through Wednesday’s 2754.00 close on the way down to 2736.50. Extending down post-open to 2730.25 created an anchor that would doom to failure any subsequent bounce. That didn’t prevent rallying up to 2755.25 through the noon hour, but it did limit any higher high to a blip-up to 2758.25. Finally, the bounce began retracing as the last half-hour fell to 2743.00-2744.00.
Overnight action’s new info…
The bounce continued unraveling through the Globex open to retrace Thursday’s 2739.50 open. The fall extended to probe 5 ticks under Thursday’s low to 2729.00 just before Europe’s opens. And that was the end of that. Rallying since then has recovered into positive territory to test the 2744.50 earlier Globex high up to 2749.25.
If, then… (notes to accompany the Tour recording)
The anchor at yesterday’s low had doomed the subsequent rally. This setup is now neutralized by having probed a fresh low, and its intraday retest isn’t required. Often a new downleg under it would have developed to compensate for the delay, and may yet develop. Meanwhile, a couple of rally setups are trying to form overnight. Probing yesterday’s low overnight and not retesting it this morning could form an Isolation setup by not probing yesterday’s low through the open. More influential than that would be a Globex-flip setup, which also rejects the overnight probe by opening back above the 2744.50 earlier Globex high (now being tested). The latter setup can be as bearish as it would have been bullish if the opportunity to trigger is presented AT the open, but isn’t exploited THROUGH the open.
First Trade…
[Click here to view the Bias parameters] Exiting the open at 9:45 above 2744.50 would be unlikely to trigger the 2741.25 bias-down signal at 10:15. Exiting the open under 2746.75 would be unlikely to trigger the 2753.00 bias-up signal.