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... Friday's gap up and probe of fresh highs was rejected after fulfilling the morning's 2730.00 bias-up target up to 2732.50. Its reversal probed the open's 2720.00 low by 1 point during the noon hour. The afternoon bias environment dipped 2-4 points into negative territory to 2716.75. But the trend never reversed down. And the balance of the session rallied 10-13 points up to 2727.00-2730.00. It was the first close above the rally's 2721.50 target, although it was still being overlapped. Overnight action's new info... Sunday night's open spiked up to 2736.00, and consolidated briefly down to 2733.50. Gradually firming extended higher to pierce Monday morning's 2739.25 bias-up target by a couple of ticks. Its 2-point pullback recovered to 2741.00 after midnight, but price action since then has trended back down to 2733.50. If, then... Friday's pullback was relatively shallow to correct the two strong days preceding it. It wasn't too brief, except that Fridays are already less relevant. So, this leaves the question whether resuming the rally requires a deeper pullback. And a deeper pullback would raise the question whether the rally had ended already, and the deeper pullback is actually the trend reversing down. Avoiding any dip to immediately extend higher can't afford to hesitate, or else it would be vulnerable -- if not likely -- to duplicate Friday morning's temporary rally, but with a more permanent reversal down. Greeting the open in negative territory could mean that last night's action produced that temporary rally, and has reversed the trend down. Extending the rally depends largely on maintaining excessive optimism. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 above 2737.50 would be likely to trigger the 2733.00 bias-up signal at 10:15. Exiting the open under 2729.75 would be unlikely to trigger bias-up.

Target met, held, but not rejected. The overnight pullback from 2741.00 ultimately extended down to pierce 2733.00 by 3 ticks before the open.. The open rallied immediately up to 2737.00 and then extended to pierce the 2939.25 bias-up target. Its reaction down has recovered to a fresh high at 2741.25. It's too late to renew the bias-up signal, but this is still a bias-up environment. Extending higher would next target 2747.25. There's still cause for suspicion about this morning's rally maintaining its gains -- let alone extending higher. The overnight pullback will have to serve by proxy as generating pessimism, in lieu of a deeper pullback under Thursday's highs. That's not optimal, but it gets a benefit of the doubt until reversed.

MON afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2740.25 2739.25 ...would target  2748.25  2747.25 Bias-down: under  2731.25 2730.50 ...would target  2722.25 2721.50 Signal status: BIAS-DOWN FAQ Flowcharts: Bias-UP // Bias-DN INTRO VIDEOS #1 and #2 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.

Target's test fails earlier... dips deeper? This morning's retest of its 2739.25 bias-up target and of the 2741.00 overnight high got to 2741.25. Trending down since then fell initially to the morning's 2733.00 bias-up signal while the bias environment was lapsing. Now it has extended to trigger the afternoon's 2730.50 bias-down signal.   Quickly fulfilling this morning's bias-up target allowed its earlier rejection. But the reversal's timing was not optimal -- breaking lower as late as possible, and including a couple of big blips-up, albeit temporary -- so, this reversal isn't necessarily sponsored by strong-handed sellers.   The bias-down signal was probed down to 2726.25, whose oversold RSIs were just retested. Interim support before the 2721.50 bias-down target is at 2725.25. Meanwhile, the test of 2726.25 is reacting up to attack the 2730.50 bias-down signal as resistance. Another big blip-up? Back under 2725.25 would help to confirm it's only temporary.

Wednesday and Thursday's consecutive similar sessions gave us clues to help react during Friday's session. Both sessions had gapped up, eventually trending up sharply, into an after consolidation at a next higher objective. Another sustained intraday rally became unlikely. Now the next two consecutive sessions have behaved similarly to each other. Rallying through the open and extending to their bias-up targets, then reversing into negative territory through the afternoon. Another failed morning rally is unlikely. But a failed probe lower is possible, like after fulfilling "unfinished business below" at Monday afternoon's 2721.50 bias-down target. Extending lower is possible, too, like probing Thursday afternoon's low under 2713.00. Another rally leg is also possible, but a corrective bounce could be limited to 2737.50. Details and other markets coverage are discussed in the post-market Wrap recording here. Monitor overnight Globex trading in the chaRTroom here.

TUE morning signal (triggered at 10:15 ET) SPX ES Bias-up: above 2733.25 2732.25 ...would target  2739.00  2738.00 Bias-down: under  2724.75  2724.00 ...would target  2718.75  2718.00 Signal status: BIAS-DOWN, BIAS-DOWN TARGET EXCEEDED FAQ Flowcharts: Bias-UP // Bias-DN INTRO VIDEOS #1 and #2 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.