Wednesday”s rally could have extended

Wednesday”s rally could have extended higher Thursday. Its reaction down from 2124 needed to be contained to an irrelevant timing window, likely overnight. And its test of 2118 or lower needed to be rejected quickly.

Thursday”s opening attempt to quickly recover 2118 was rejected. The entire session was spent probing under it. The entire session, that is, until the afternoon”s recovery finally extended back above 2118.

But it never extended into positive territory, not intraday.

Having recovered through the close, the bullish template would regard the test of 2118 as successful. As successful as if it were resolved through Thursday”s open. But that still depends on extending into positive territory. And that extension could develop overnight — already, 2122.50 is being tested.

Not extending into positive territory would be likely to revisit Thursday”s lows. And Thursday”s lows have chipped away at 2112 support. The only reason to revisit 2112 is to break under it, first to 2104.25, and then to probe 2-3 points under Tuesday”s 2096 low.

More detail is discussed in the post-market Wrap, recorded here:
https://roddavid10.mitel-nhwc.com/join/mjvpwvp

And here are the overnight chaRTroom links:
XP-Friendly: http://anymeeting.com/826-161-684
non-XP ilinc: https://roddavid10.mitel-nhwc.com/join/bfyytsh