Proper context can start the day with a solid win and make all the difference.

DAILY SCHEDULE First, watch the pre-open Tour recording HERE <<== Then, meet in the chaRTroom here by 9:15 ET for updates and Q&A

Through the prior close... (summary of last Market Wrap) Gapping up Tuesday attacked and probed the 2896.00-2898.00 resistance area through the open, each time reacting back through the opening print. A blip-up to 2899.50 finally stretched the rubber band too far, and its snap back down launched a drop through the noon hour's exit at 2860.00. Hurriedly, not waiting for the bias-up environment to lapse before breaking under its 2887.75 bias-up signal, requiring its retracement. But rallying into the final hour only attacked 2882.00, before reversing back down to 2868.50, and lower after the cash session close to 2862.50. So, "unfinished business" was left outstanding at 2887.75. Overnight action's new info... (nearby chart is last session and Globex) After spending half the night glued to the 2875.00 bias-up signal, now the 2864.25 bias-down signal is under attack. The Globex open had quickly bounced back up to 2877.00-2878, where multiple reactions down to higher and higher lows each recovered. Europe's opens ended the pattern of narrowing, ascending support, and introduced wide-ranging volatility. Breaking sharply lower to 2865.00 snapped back up to 2877.00, and two more wide swings have included a fresh low  down to 2863.00. But the bias signals continue to hold their tests. CHART. If, then... (notes to accompany the Tour recording) Ultimately, Tuesday afternoon lacked momentum in either direction. Rallying this morning probably requires gapping up above yesterday afternoon's 2880.50-2881.50 highs, which wasn't even attacked overnight, despite "unfinished business" outstanding at 2887.75. And if attractions above aren't luring the market higher, then it's probably focused on attractions under 2862.50 at 2854.00-2855.00 -- and then likely lower to unfinished business at 2839.25 below, if not also resuming the decline. Meanwhile, the overnight range, though bifurcated in its personality from initially narrowing and now getting choppy, is still only a range. Not yet breaking the overnight range until much closer to the open would risk being weak-handed and easily reversed into and through the overnight range. Already probing under 2862.50 without much further delay would be more credible for trending down. First Trade... (preliminary indications for the Bias parameters) Exiting the open at 9:45 above 2868.50 would be unlikely to trigger the 2864.25 bias-down signal at 10:15. Exiting the open at 9:45 under 2868.50 would be unlikely to trigger the 2875.005 bias-up signal at 10:15.

NO-BIAS, TESTED BIAS-UP SIGNAL AFTER RECOVERING TESTS OF BOTH BIAS-DOWN PARAMETERS. AND THIS OPEN IS STILL MORE COMPLICATED THAN THAT. Sellers certainly tried. And that's what gives the upside so much more potential The overnight range's lower-end -- at this morning's 2864.25 bias-down signal -- broke lower to test 2854.00-2855.00. Its reaction up to 2867.00 was reversed through the open to test 2852.00. That reacted up, too. The test and retest of 2854.00-2855.00 was isolated through the open at 9:45.

Isolating tests of BOTH the 2856.50 and 2864.25 bias-down parameters through 10:15 would require offsetting tests of both bias-up parameters.

Unless buyers got too optimistic. Which they did.

Rather than patiently awaiting 10:15 when it mattered, the 2875.00 bias-up signal was already tested again, and was holding. Which puts into play an offsetting test of its bias-down signal. Since 2864.25 was already tested, its test won't become "unfinished business" if left outstanding. But it's meanwhile in-play.

Reacting down from 2875.00 only touched 2868.50 before bouncing again. Bouncing back above the 2875.00 bias-up signal by 10:30 would have invalidated whatever was signaled by 10:15. Bouncing back through 2875.00 AFTER 10:30 is doomed to failure. That "doomed to failure" bit hasn't prevented bouncing back through 2875.00 by 6-1/2 points, so far. And unfinished business at 2887.75 another 6-1/2 points higher could be tested, too. Isolating the tests of 2854.00-2855.00 and the bias-down parameters deserves its reward, but that reward is also stretching the rubber band to react more powerfully once it eventually snaps back down.

WED afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2889.00 2888.75 ...would target 2895.50 2895.25 Bias-down: under 2878.75 2878.75 ...would target 2870.25 2870.25 Signal status: NO-BIAS . BIAS VIDEOS... INTRO // EXAMPLE 1. At 1:20, trading above the bias-up signal or under the bias-down signal would put into play a test of its bias-up or bias-down target. 2. Not triggering either bias signal at 1:20 would be "no-bias," and the bias signals should define the bias environment's range. -- A test of the opposite bias signal would be targeted if one bias signal was tested before triggering no-bias. 3. Touching the bias signal within 3 minutes either way of 1:20 would invoke a grace period through 1:30 to trigger a late signal. -- "Late" signals don't require testing the opposite bias signal, but it's still likely. 4. Still testing the bias signal at 1:30 after invoking the grace period would trigger "noN-bias," with no bias influence.

No unfinished business above, but sellers were absorbed. Yesterday morning's 2887.75 bias-up signal broke lower during a bias-up environment. This requires its eventual retracement, and meanwhile it is "unfinished business." The interim detour probed under 2854.00-2855.00 and this morning's bias-down parameters. All were isolated, which was rewarded back up to the morning's bias-up parameters. There was potential back up to 2887.75, too, which is this morning's high. Ranging sideways since then dug slightly deeper and deeper through the noon hour, each time returning to attack 2887.75. But ultimately to trigger no-bias, since neither of this afternoon's bias signals was touched. There's probably only one bite at this apple for reversing the intraday trend back down today. A reinforced sell signal that violates its bounce limit would be one bite. Triggering a buy signal would be a bite. Doing either would have potential to resume the rally up to 2925.25-2933.00.

We haven't seen a "Wreversal Wednesday" in awhile. Its label isn't entirely self-explanatory; several patterns reverse intraday. But Wreversal Wednesday starts the day trending quite convincingly, and reverses it equally convincingly. The pre-open AND post-open tests of the next lower target at 2854.00-2855.00 had every opportunity to extend and test unfinished business at 2839.25. But each of its tests was isolated -- pre-open, and during the opening 15 minutes of volatility. The wreversal was ultimately attracted to unfinished business above at 2887.75, which essentially defined the afternoon's highs. This had followed a "Too late to break" setup I described during the Market Tour. Overnight sideways ranging that finally tries trending as the open arrives is often sponsored by weak hands. Wednesday's late break was reversed to the overnight range, which broke lower again through the open. The post-open retest of 2854.00-2858.00 had gotten fair warning that it could trapped. The morning's recovery never extended higher, despite trying up to 2890.00. Buyers gained no traction for their earlier efforts, so there's no greater likelihood for extending higher overnight or Thursday. So, extending higher Thursday requires already extending higher overnight. Gapping up is no more likely, but gapping up is likely to extend higher post-open. And extending higher post-open is likely to have been launched by gapping up. Extending higher would have potential to 2825.25-2833.00. Reversing down has room to 2880.50 or 2877.00 before suggesting a more substantial drop is underway. Breaking under 2868.50 would be the earliest indication that Wednesday's bounce was only a temporary detour on the way to lower lows. Details and other markets coverage are discussed in the post-market Wrap recording here. Monitor overnight Globex trading in the chaRTroom here.

THU morning signal (triggered at 10:15 ET) SPX ES Bias-up: above 2891.00 2890.75 ...would target 2898.25 2898.00 Bias-down: under 2878.50 2878.50 ...would target 2870.25 2870.25 Signal status: BIAS-UP, BIAS-UP TARGET EXCEEDED . BIAS VIDEOS... INTRO // EXAMPLE 1. At 10:15, trading above the bias-up signal or under the bias-down signal would put into play a test of its bias-up or bias-down target. 2. Not triggering either bias signal at 10:15 would be "no-bias," and the bias signals should define the bias environment's range. -- A test of the opposite bias signal would be targeted if one bias signal was tested before triggering no-bias. 3. Touching the bias signal within 3 minutes either way of 10:15 would invoke a grace period through 10:30 to trigger a late signal. -- "Late" signals don't require testing the opposite bias signal, but it's still likely. 4. Still testing the bias signal at 10:30 after invoking the grace period would trigger "noN-bias," with no bias influence.