What bias-down.

41- point rally off the lows is big. Is it refueling the 66-point drop from yesterday’s high?

[pay]The question to ask of this morning’s action is whether it has left any unfinished business below. A rally that originates during a bias-down environment is required to retrace back to its bias-down signal.

Was the 1155.00 bias-down signal already retraced? was tested as support once already after 10:30. Must it be retraced even further to compensate for the delay? Exiting the noon hour back under 1155.00 would be the last opportunity to reclaim this morning’s bias-down and extend down to test the 10:15 print at 1139.00.

In today’s Market Tour, we discussed the potential for an ugly morning to produce an afternoon rally. Was this an ugly morning? Did it already produce its rally? The recovery’s 1171.25 high was just probed up to 1173.50. Above 1175.00 would target 1180.00.

Unless the noon hour were exited at least under yesterday afternoon’s 1165.50 highs, sellers are probably marginalized for the day.

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