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... Wednesday's gap up at 2614.75 blipped back down into Tuesday's range before quickly extending higher to 2624.00. Just as quickly, Tuesday's range attracted price back down to 2612.50. The choppy range persisted through the noon hour, before breaking higher to test 2626.00. Then Tuesday's range attracted price back down one more time throughout the last 60-90 minutes. The drop reached only 2615.25 by the cash session close, qualifying as confirmation to Tuesday's breakout session. Futures extended down to 2612.50. Bullish WedEX triggered. Overnight action's new info... Wednesday's drop was initially consolidated through the Globex open, but soon resumed. Extending down eventually probed under "lower prior highs" to touch 2596.50 soon after Europe's opens. A bounce tested 2606.00-2607.00, but that has reacted back down to attack 2600.00. If, then... (notes to accompany the Tour recording) We've got quite a conflict between two patterns. Wednesday afternoon's dip back into Tuesday's range held on just enough to confirm Tuesday's breakout, which requires an eventual third higher close. Meanwhile, the abrupt intraday reversal at 2626.00 is exactly the topping behavior that I've been describing to expect at this stage of the rally. The eventual third higher close can be delayed by an intraday or multi-session detour, which was already indicated while Wednesday's high was forming. The overnight drop could be part of the topping pattern, if this reaction down is recovered to a fresh high close in the next several days. Already topped and reversing down would require the breakout to fail, which the confirmation process is meant to avoid, and which is very rare. We'll adopt that posture if WedEX inverts by proxy by today's open gapping down back under the pre-breakout ~2598.00 "lower prior highs" -- which the overnight drop is already testing. Otherwise, sellers not exploiting the overnight attempt would reinforce the upside attraction, helped by the bullish WedEX's influence tomorrow afternoon. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 under 2606.00 would be likely to trigger the 2609.50 bias-down signal at 10:15. Exiting the open above 2612.00 would be unlikely to trigger bias-down.

Overnight drop finds no reinforcements. Gapping down to and through the 2598.00 "lower prior highs" would have inverted yesterday's bullish WedEX. But its overnight test down to 2596.50 was already recovering before the open. WedEX remains bullish. Testing and holding the bias-down target post-open would have reflected weak-handed sellers. Post-open action is rallying anyway, and not recovering the 2609.50 bias-down signal. So, at least an offsetting test of the 2619.25 bias-up signal is in-play. It has been attacked during a range that reacted down to 2611.00. Already attacking the bias-up signal to within 3 ticks keeps it from becoming unfinished business if left outstanding. And holding the pre-open test of the 2601.00 bias-down target was too early to require an offsetting test of the 2625.25 bias-up target. But holding 2611.00 would be more vulnerable to extending higher anyway.

THU afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2624.00 2623.75 ...would target 2631.00 2630.75 Bias-down: under 2617.00 2617.00 ...would target 2610.00 2610.00 Signal status: LATE BIAS-UP . 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.

3 ticks under yesterday's high. Reversing down through yesterday's last 60-90 minutes, and extending down through Europe's opens, has now been retraced to within 3 ticks of yesterday's 2626.50 high. Such is the power and persuasion of 2626.00, not only as a repellent as its test fulfills buying pressure, but also as an attraction from testing support. That support is the ~2598.00 "lower prior highs" that was tested overnight. Its intraday test would have been optimal and reliable, but that hasn't mattered to the rally underway from the open. The 2626.00 attraction is actually the reward for having absorbed the interim drop. Extending higher would suggest that 2658.00 may be tested before the weekend. But nothing requires trending any higher today. Wednesday's confirmed breakout does require an eventual higher close, but not necessarily today. And WedEX's bullish influence should be evident tomorrow afternoon. Sideways ranging or an interim dip wouldn't affect either setup.

Thursday's 2606.00 open was a 9-10 point improvement from the overnight low, which had held a test of ~2598.00 "lower prior highs." Post-open action immediately resumed the overnight recovery, with a complete recovery to 2626.00 being the reward for having held the lower prior highs. Attacking it coming out of the noon hour helped to trigger the afternoon's bias-up. No sooner had the 2630.75 bias-up target become unfinished business, when a China trade headline triggered a surge to 2645.50. Its correction was hurried by an explicit denial of the original news. Reacting down 20 points was still recovered to close at 2635.00-2636.00. Tuesday's confirmed breakout had required an eventual third higher close, which is now neutralized. Not without creating new upside attractions. Simultaneously overbought 1-minute and 3-minute RSIs at the high require a retest. And closing above 2626.00 puts into play the rally's next higher objective at 2656.00, which can be invalidated by exiting Friday's open back under 2626.00. Overbought RSIs can be neutralized overnight, and the higher objective can be invalidated at the open, without interfering with WedEX's bullish influence. Details and other markets coverage are discussed in the post-market Wrap recording here. Monitor overnight Globex trading in the chaRTroom here.

FRI morning signal (triggered at 10:15 ET) SPX ES Bias-up: above 2640.25 2640.00 ...would target 2647.75 2647.50 Bias-down: under 2630.75 2630.75 ...would target 2623.75 2623.75 Signal status: BIAS-UP, BIAS-UP TARGET MET . 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.