Trading Plan for 4/17

If expiration’s intent to be biased-up were genuine… then it might have left more upside on the table before Thursday. Bouncing from recent lows had potential to two levels. The first objective was tested Wednesday, and the second isn’t much higher.

Pattern points… (Setups and technicals)[pay]
Wednesday’s gap up reacted down almost instantly, but never threatened entering negative territory. This describes only the morning’s bias environment, but it also described the session’s lack of sellers.

The noon hour’s fresh highs formed a Close-quarters double top that tends to probe fresh highs after reacting down. There was a lot of reacting down, all the way through the afternoon’s bias environment. But it was never bearish, mostly because of the likelihood for probing fresh highs.

Fresh highs were probed, but that leg didn’t breakout until after the bias environment began lapsing. Finally, a fly in the ointment, and it undermined an otherwise compelling hold-long. Earlier highs had held 1852.00-1853.00 resistance, and closing higher put into play 1860.00-1861.00.

[/pay]What’s Next… (Outlook and opportunities)[pay]
GOOGL’s post-close earnings knocked the market back down under 1852.00-1853.00. Probing fresh highs on expiration’s open could be the only way to ensure trending or volatility in the afternoon.[/pay]

Look for at least one update overnight or ahead of the Morning Market Tour… My thoughts on the day’s econ calendar are linked here.