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

DAILY SCHEDULE Watch the pre-open Tour recording* HERE <<== *Manually open Adobe Connect (install on Windows or Mac), then paste the recording's link there. chaRTroom** is now open... Pre-open update is at 9:15 ET **This is NOT the direct chaRTroom link

Through the prior close... (summary of last Market Wrap) A wide overnight range was already chipping away at its 3771.00 upper-end when Friday's Employment Situation report triggered a surge up to 3814.50. Being too-late-to-break within 60-90 minutes of the open, the morning reversed the pre-open 45-point probe of positive territory into an almost equidistant 41-point probe negative as the bias window began lapsing. Although not yet touching Thursday's low, the balance of the session rallied 121 points up to 3850.00 into the close. Overnight action's new info... (nearby chart is last intraday session and Globex) Passing the stimulus package through the Senate earned a knee-jerk reaction that gapped up Sunday. Enough to touch the 3866.00 bias-up target before reversing back down to greet Europe's opens at the 3811.50 bias-down target. A blip-down to 3796.00 is now trying to recover 3822.50. If, then... (notes to accompany the Tour recording) Friday's impatient low missed the opportunity to form a bullish Pivot Reversal. Instead, its intraday bounce probed Thursday's 3842.00 high only very late, and only temporarily. And its peak at the 61.8{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} retrace of last Monday's last optimistic high requires gapping up to avoid reversing down -- whether to back-and-fill, or to retest last week's 3820.50 low. And the open is currently only indicated lower. Bias Parameters... (linked here)

Saved at the bell. The overnight reversal from gapping up had at least recovered positive territory to touch 3850.00. Was that the intraday crowed duplicating the overnight sentiment surge like Sunday night's gap up? Possibly. Its reaction down tested a minimum pullback objective down to the 3829.25 bias-down signal. Then came an actual sentiment surge up to 3862.00. Now the intraday crowd had decisively duplicated the overnight experience. That also bought the recovery time for invoking the bias-up's grace period. Bias-up triggered, probing its target up to 3876.00. Having tested 3866.00 intraday, extending to and eventually through its 3883.00 counterpart and on to new highs should be only a formality. The bearish exception would be to exit this morning's bias window back under its 3852.25 bias-up signal. Breaking lower in time would isolate this morning's optimism. Its rejection would target fresh post-open lows like 3818.00, if not also lower.

MON P.M. BIAS

At 1:20 the P.M. BIAS is BIAS-UP BIAS-UP: above 3868.00 signal would target 3883.00. BIAS-DOWN: under 3848.75 signal would target 3836.00. NO-BIAS: between both signals.

Staking out higher ground. This morning's recovery up to 3876.00 held up thropugh the bias window to form a position of strength. So, only weaker-handed sellers sponsored its reaction down to 3853.00 when the bias window was lapsing. Retesting the morning's highs up to 3879.00 is only hovering at the bias-up signal, so any reversal down is probably just a temporary detour. Meanwhile, the 3883.00 bias-up target is in-play. Regardless of any reaction to testing it, not yet reacting down from its 3866.00 counterpart suggests that new highs are effectively in-play. A pullback has room down to 3858.00 before even suggesting a deeper detour underway. A detour could be productive, but the burden of proof is on sellers.

Gapping up Monday, however shallowly above 3838.00, allowed the morning to trend up. Quickly extending up to 3876.00 mostly ranged hovered there, probed during the noon hour up to 3879.00. Triggering the afternoon's bias-up signal didn't prevent the balance of the session from trending back down to 3816.50. Monday afternoon's 3883.00 bias-up target became unfinished business. So did the 3868.00 bias-up signal, which broke lower after triggering a bias-up window. They offer context to assume the interim pullback is only a temporary detour, regardless of its degree or duration. One other bullish context developed just prior to Monday's last probe lower. Back above 3845.00 should develop if momentum is reversing up. Otherwise, a deeper detour down to 3777.00 or lower can't be dismissed. I keep saying detour, because the signals keep saying detour. Meanwhile, noticeable among some stocks I'm following is that reversed earlier gains Monday, and not by a little. Volumes contracted, which can be exploited by fresh buying. But extending down on light volume at this stage wouldn't be helpful. See details and other markets coverage in the post-market Wrap recording* here. *Manually open Adobe Connect (install on Windows or Mac), then paste the recording's link there. Monitor overnight Globex trading in the chaRTroom here [NOT the direct link].

TUE A.M. BIAS

At 10:15 the A.M. BIAS is BIAS-UP, BIAS-UP TARGET EXCEEDED BIAS-UP: above 3833.00 signal would target 3842.50. BIAS-DOWN: under 3809.25 signal would target 3796.75. NO-BIAS: between both signals.