Proven Day Trading Signals from Viditrade - 12-17-2015

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

CHARTROOM LINK(s) o Win XP-Friendly entry o non-xp friendly (ilinc) (pre-open Market Tour begins at 8:55 ET)

Through the prior close... Wednesday's open maintained a gap up above Tuesday's highs, after Tuesday's buyers had failed to gain traction for their efforts. This setup didn't require extending higher immediately, but at least eventually. So, after reacting down from 2052.00 resistance to await the FOMC from unchanged, the rally resumed up to 2068.75. Buyers barely gained traction, and a bullish WedEX triggered. Overnight action's new info... Backing-and-filling down to 2056.00 greeted Europe's opens back at 2062.50. That firming became a rally to fresh highs attacking 2073.00. That's now reacting down to test this morning's 2069.25 bias-up signal as support. If, then... Trending higher this morning is likely since yesterday afternoon's buyers gained traction for the day's efforts. Gapping up is at risk of prematurely fulfilling the signal and inverting it, but that risk lasts only through the open. Regardless, not gapping down avoids inverting the bullish WedEX signal. First Trade... Exiting the open at 9:45 above 2070.50 would be likely also to trigger the 2069.25 bias-up signal at 10:15. Exiting the open under 2064.75 would be unlikely to trigger bias-up.

Rally setup signals inversion, and inverts. Yesterday afternoon's buyers had gained traction for their efforts, making this morning likely to trend up. The setup is always vulnerable to inverting -- to signaling the opposite -- in this case, by trending down through the open. The open trended down. The open trended down, after a pre-open bounce had retraced a healthy 61.8{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} of the pre-open drop. Sellers were refueled, and they exploited the opportunity. The 2069.25 opening print, which is also this morning's bias-up signal, immediately reversed down. The 2057.75 bias-down signal was soon tested. Ranging sideways around it through 10:15 invoked the grace period, but the decline resumed down to the 2050.50 bias-down target. That might have been an attractive buying opportunity -- fulfilling the downside target, especially while RSIs diverged positively, which they were doing. But the inverted morning rally signal suggested otherwise. Now an extra downleg has touched 2043.25, its reaction up testing 2049.00.

THU afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above  2059.50 2050.50 ...would target  2066.00  2057.00 Bias-down: under  2051.25  2042.25 ...would target 2044.00  2035.00 Signal status: NO-BIAS, TESTED BIAS-DOWN SIGNAL FAQ 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.

Today's market Wrap is one hour early at 2:55 ET. [I'm away from the screens for the last hour, following the Wrap.] The inverted morning-long rally (I'm sure there's a simpler name for that) extended down through the bias environment's exit. From the 2072.75 overnight high to the 2069.25 open, down to the 2038.25 low, a lot of selling pressure was expended. And S&Ps are still above yesterday's prior low. After two days of stiff upper-lip into the widely-telegraphed historic rate hike, which prompted a surge -- all ahead of quadruple witch expiration -- a pullback can be dismissed. Pulling back under any conditions without actually signaling the rally was inverting could not have been dismissed. So, while this afternoon is a no-bias environment, this, too, shall lapse. If price action continues hovering at or under the 2050.50 bias-up signal, then trending up out of the bias environment would be entirely credible for extending higher through  the close. Exiting the bias environment in decline would still have room down to Tuesday's 2030.00 low before suggesting the trend may be reversing down.

Not really "post" market wrap, as we held it an hour early and I am away from the screens through the close... The afternoon's bias environment missed a great opportunity to rally. Its no-bias was honored by hovering up at the 2050.50 bias-up signal without trending above it. But a dip to 2045.00 had developed when the bias environment came within view of lapsing. And another dip attacking 2043.00 came after the bias environment started lapsing. Rallying into Thursday's close wasn't necessary to resume the rally Friday, just helpful. Not resuming the decline Thursday is helpful, too -- it's being attempted down to 2041.00, but holding here would allow this little dip to be considered "ineffectual pessimism." Bullish, from a contrarian perspective. The proof either way will appear soon. The bullish WedEX wasn't invalidated, so it is only at risk of being inverted by downtrending through Friday's open. And that would likely take all upside off the table for awhile. Details and other markets coverage are discussed in the post-market Wrap recording here: https

This evening, monitor overnight Globex trading in the chaRTroom at: non-xp ilinc