Trading Plan for 6/23

If WedEX influence were any less Friday afternoon… then price would have trended down. That’s an exaggeration, but only by 2 points. As it was, the afternoon bias environment touched the morning bias environment’s low, and reacted back down from an attack on the morning’s high. Highs weren’t probed, which wasn’t necessary for WedEX to qualify. But it does have implications for Monday.

Pattern points… (Setups and technicals)[pay]
Friday morning’s opening 15 minutes of volatility trended down, after gapping up to the bias-up target. This setup is rare. Much rarer is not to extend down intraday. This conflicted with a bullish WedEX, which the market resolved by ranging sideways.

That still qualifies as a bullish WedEX. And when Friday afternoon’s influence is muted, it tends to be exaggerated Monday morning. The opening print may gap up or gap down, but the post-open action should trend up through the morning.

Meanwhile, Friday’s new trend high close does what it did two weeks earlier, which is to require there be a subsequent high close. It need not be immediate on Monday, and may only assure recovering from an interim dip — as it did two weeks ago.

[/pay]What’s Next… (Outlook and opportunities)[pay]
This weekend’s Saturday Strategy Session will be out last until after the holiday. Be sure ask about any stocks your monitoring, or to discuss any of my methodology or other markets. See you at 9:30am ET, click here.[/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.