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 night's rally to 2838.00 trended back down into and out of Thursday's open to 2823.25. The morning's 2822.00 objective was left outstanding as "unfinished business." The balance of the morning recovered to attack overnight highs into the morning bias environment exit. Another shallower pullback recovered, too, into afternoon bias environment exit. Just when the afternoon before an Employment Situation report would usually hover into the close, a Mexico tariff headline triggered surges to 2844.00 and 2853.00. The second surge was retraced to close at 2845.00. Overnight action's new info... The retracement didn't hesitate extending through 2845.00 down to 2837.50. And that barely hesitated before reversing back up, touching 2850.50 by midnight. Consolidating there into Europe's opens finally resumed the rally through yesterday's high, just now attacking 2857.00. If, then... (notes to accompany the Tour recording) Trending into an Employment Situation report tends to weak-handed sponsorship. Its sentiment is vulnerable from a contrarian perspective. And a lot of optimism has been expressed already, not so much above yesterday's high as since recovering from the overnight low. Having said that, extreme sentiment does often extend in reaction to the report, if only momentarily. Thursday afternoon's Mexico tariff sideshow obscures the usually purer input. But not already reversing down substantially pre-open, or only dipping shallowly, could still probe higher intraday. Trending through the opening 15 minutes of volatility would be likely to extend in that direction through the noon hour. First Trade... [Click here to view the Bias parameters] Preliminary indications are not considered ahead of the Employment Situation report.

And exceeded, and exceeded, and... Yesterday afternoon's surge had signaled that buyers gained traction for the efforts -- entering the final hour above the bias environment's high, and then trending to fresh highs through the 3:10-3:20 proxy window. Afternoon traction predicts trending to persist the following morning, usually for the bias window's duration, but at least not reversing the trend. Separately, although optimism ahead of the Employment Situation report can be bearish from a contrarian perspective, persistent optimism often reflects an intent to remain optimistic. And that resolves by reacting favorably. Both expectations were fulfilled this morning, and then some. Gapping down under yesterday afternoon's low would have invalidated the rally's traction. Also, retracing an initially favorable knee-jerk reaction at the open would have ended the optimistic intent. Instead, a knee-jerk reaction down was recovered (thanks to a favorable China trade headline, and the open resumed the rally through overnight highs.

Favorable China trade headlines have continued, and so has the rally. Now approaching 50 points above last night's initial low, its next candidate for consolidation or reversal being pierced at 2886.00-2888.00.

Another influence is Friday morning bias signals tending to persist through the noon hour. That doesn't preclude peaking before then, but reversals may be difficult. Counter-trend sponsorship is always difficult ahead such strong trending -- at least, immediate counter-trend sponsorship. Back under 2889.75 would be the first signal of either peaking or reversing.

FRI afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2880.50 2881.25 ...would target 2879.25 2888.00 Bias-down: under 2869.75 2870.75 ...would target 2863.75 2864.75 Signal status: NO-BIAS, TESTED BIAS-UP SIGNAL . 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.

And Friday afternoon begins. 2886.00-2888.00 was the next likely candidate for triggering a consolidation or a reversal. Piercing the range by 1 tick was enough to launch a 14-point pullback that touched 2874.00 just after noon. "Unfinished business" was left outstanding from simultaneously overbought RSIs at this morning's 2886.25 high, requiring a retest. Now this afternoon has triggered late no-bias. The 2881.25 bias-up signal should define the window's upper-end. Probing it prematurely could neutralize the high's retest, perhaps up to 2888.00, while requiring that it retrace down to 2881.25, at least. Patiently hovering under 2881.25 until the bias environment begins lapsing would be free to resume rallying into the close. Never underestimate the potential for trending relentlessly out of Friday afternoon bias environments if exited above prior highs. Perhaps a trade or tariff headline will shake things up to allow fading a trending attempt. Meanwhile, the bias environment could gravitate back down to its lower-end. Regardless, be careful not to force a trade.

Thursday afternoon's traction had indicated the rally's intent to rally Friday morning. The setup's resolution isn't required, and neither is the resolution required to be substantial. But Friday morning rallied substantially from its 2855.00-2857.00 open to its 2886.25 peak. And that followed an overnight 20-point rally from its immediate 2837.50 Globex low. Friday Factors are reliable for exacerbating the sentiment extremes of Fear & Greed with two days of illiquidity fast-approaching. So, as was also likely, the balance of the session backed-and-filled through the close, down to 2871.00. Overbought RSIs were left outstanding at the 2886.25 high requiring a retest, only attacked to within 10 ticks during the afternoon. It makes a lovely set of bookends with the 2822.00 bias parameter test left outstanding Thursday morning, only attacked to within 5 ticks before resuming the rally from Monday's 2728.75 low. Details and other markets coverage are discussed in the post-market Wrap recording here. JOIN US AT 9:30 ET FOR THIS WEEKEND'S SATURDAY REVIEW.

MON morning signal (triggered at 10:15 ET) SPX ES Bias-up: above 2880.00 2880.50 ...would target 2885.75 2886.25 Bias-down: under 2868.75 2869.50 ...would target 2862.50 2863.25 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.