The First Trade… Tag-up (one more dip).

Proper context can start the day with a solid win and make all the difference.

CHARTROOM LINK(s)
o Win XP-Friendly entry
o non-xp friendly (ilinc)
(pre-open Market Tour begins at 8:55 ET)

Through the prior close…
Monday morning’s plunge through noon from 2088.00 to 2062.00 was the consequence of Fridya not having rejected the intraday probes under it. That consequence extended 8 points deeper than was necessary. The balance of the session reversed direction. Firming through the bias environment back up to 2072.00 didn’t gain traction, but that didn’t prevent a late surge to 2077.50.

Overnight action’s new info…
Pulling back into and out of Monday’s close found immediate support at the 2070.00 area. Attacking 2079.00 into midnight ranged narrowly, but had started slipping already before Europe’s opens. That slipping became more aggressive on the way to fresh lows at 2066.25… Not so fast, there — a one-hour surge is retesting 2072.00.

If, then…
Without gaining traction Monday afternoon, the late extension higher set the stage for one of two resolutions. Either extend higher overnight, too, attracting new sponsorship that justifies the late optimism. Or, resume the decline Tuesday morning — and with a vengeance, the consequence of Monday afternoon’s nouveau optimism having only refueled Monday morning’s pessimism. But that sword can cut both ways, and opening down too deeply can quickly discover that few new sellers are being attracted, allowing a bottom to form.

First Trade…
Exiting the open at 9:45 under 2066.50 would be likely also to trigger the 2068.00 bias-down signal at 10:15. Exiting the open above 2072.50 would be unlikely to trigger bias-down.