The First Trade… Try harder.

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…
Friday’s bullish reaction to the pre-open Employment Situation report had triggered a 7-point surge to attack 2063.00. Its reaction into negative territory at 2046.50 was recovered to greet the open gapping up, extending higher 25 points through the morning to 2069.50. The legs were large, but the structure wasn’t much different than many Fridays, consolidating into the noon hour. Then a Draghi-headline triggered another surge that extended to 2093.00, settling around 2088.00.

Overnight action’s new info…
Flat-to-lower ranging was transformed at Europe’s opens, surging to probe fresh highs at 2095.50. The one surge was retested, but not extended. Ranging there around Friday’s late 2093.00 high is still underway.

If, then…
The timing of Friday’s noon hour rally leg suggests that it was sponsored by weak hands. Extending higher depends upon gapping up by attracting new sponsorship. That’s not yet indicated, not by only probing Friday’s high and ranging around it. So, that leaves Friday afternoon’s rally vulnerable to a correction this morning — if not also to being fully retraced.

First Trade…
Exiting the open at 9:45 above 2095.25 would be likely also to trigger the 2092.50 bias-up signal at 10:15. Exiting the open under 2083.50 would be unlikely to trigger bias-up. Exiting the open under 2078.25 would be likely to trigger the 2080.50 bias-down signal at 10:15.