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... Immediately rejecting Wednesday's inability to recover positive territory was the only path higher Thursday. Gapping up above the morning's 2752.00 bias-up signal did that. Its likely reward was to probe Tuesday's 2760.00 high. The 2757.50 bias-up target was probed but not exceeded for long enough to renew the bias-up signal. So the noon hour finally resumed the rally and fulfilled the afternoon's 2765.25 bias-up target. The cash session closed equated to 2768.50 and futures extended another 6 ticks higher through the close. Overnight action's new info... Globex initially dipped to form a narrowing range around yesterday's 2768.50 cash session close through midnight. Then firming to fresh highs suddenly surged at Europe's opens to new highs at 2776.00. The surge was brief, but has been maintained as price ranges around 2776.00. If, then... The overnight high's surge happens to be ranging around this morning's bias-up target. Gapping up yesterday was the only path higher out of Wednesday's quicksand, but gapping up today isn't necessary to extend the rally. None of which makes gapping up bearish, or prevents a reaction down from recovering. But since Friday Factors play uniquely on gaps because of the impending weekend illiquidity. The opening 15 minutes disposition of the gap is often very predictive to the balance of the session. So, regardless of the three-day holiday weekend's bullish influence, exiting the open back under a relevant support could target another test of Friday's close. Similarly, because of the three-day holiday weekend's bullish influence, a firmer open could gravitate higher into the afternoon. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 above 2771.75 would be likely to trigger the 2770.00 bias-up signal at 10:15. Exiting the open under 2768.00 would be unlikely to trigger bias-up. Phonetic dictation... good morning and welcome it's Friday time for Friday's Morning Market to or we've got another rally overnight why not interesting set up here there's maybe one minute to discuss it because it comes down to this up or down we had to go up or down likely that the market just fluctuates sideways nearly even chop Ali around the open Notice what happened I just want to point out the this as a template from Tuesday this is a new high Gap up to a new high on Tuesday fluctuated largely positivewhere liquidity declines Etc Trend turns are less likely things can get heated to the upside more so very quickly so if they Mark it's going to reverse down today it's going to need to do so pretty quickly through the open if it extends hired it's just going to create more room to absorb being productivepretty resistant Euro up sharply Euro has no unfinished business above and it's gapping up sharply I know unfinished business above but it confirmed breakout below this is not often that this happens it's not usual but it's not abnormal there's a confirm breakout Mondays break confirmed Tuesday under a multi-session range the target of this rally was already met and this is coming back to New Year's coming out of the New Year's weekend retested and that overnight surging through all those prior highs to new highs this is a running correction and what do we know about writing correctionCrackdown I think it was on six Banks now at this very recent search he is coming close to the flavor Tracy mat it's been a lot longer than it normally is .

Pre-open plop produces opening pop. The overnight rally had run into resistance at this morning's 2776.25 bias-up target. Ranging there broke lower in reaction to the CPI report, plunging back to the earlier 2766.25 overnight low. Its reaction up still tested the 2770.00 bias-up signal at the open. Which held, launching a rally back above the overnight highs to 2778.75. Complexity while forming the overnight high made it a "new Globex trend extreme" requiring intraday retest. That's often the same day, but not always. Today's is already resolved. And exceeding the bias-up target through 10:15 has renewed the bias-up signal. Although not a requirement, the next higher targets are 2781.50 and 2787.00. Back under 2775.00 would start to signal at least a pullback underway. And maybe only a pullback. A trend reversal would be possible, but less likely. It would be well-rewarded, too, eventually targeting 2730.75. But this being a Friday, the morning's bias signal tends to persist through the noon hour.

FRI afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2786.00 2787.00 ...would target  2790.75  2792.00 Bias-down: under  2775.50  2776.75 ...would target  2770.00  2771.00 Signal status: NO-BIAS FAQ NEW! 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.

Pre-weekend volume contraction. This morning's rally peaked within 5 ticks of its 2787.00 doubly-renewed bias-up target. It didn't require being met. Neither did its 2781.50 renewed bias-up target. A 7-point dip down to 2779.00 still recovered enough to exit the bias environment back above 2781.50. So, proximity to the high's overbought RSIs makes its retest likelier today.

Back under 2781.00 would start to signal another pullback, first. And 7 points may prove shallow. Even a temporary dip has potential down to 2776.00 or 2773.00.

Meanwhile, this being a Friday afternoon, sponsorship is difficult to attract. Let alone, reinforcements for the prevailing trend. And especially counter-trend sponsorship. More common is to trade out the session within the morning's range, or to hold probes of either end of it. So, while breaking lower could turn negative, that wouldn't be normal. Just reversing down would be difficult if not underway already by the bias environment's exit. And while a retest of the highs is likely, and likely to hold, Friday Factors enable drifting higher into the weekend.

Friday's new trend extreme close at 2786.50 was back within the afternoon bias environment's range, which does undermine its near-term upside momentum slightly. Similarly, recovering through the close up to 2789.00 doesn't reinforce the upside momentum. Regardless, the requirement for at least another eventual higher trend extreme close is not affected. But that is basis U.S. regular trading hours. That opens a window for a global pullback Monday while participation is suppressed. Only ranging choppily through the afternoon around the morning's 2785.75 high doesn't reinforce upside momentum -- again, regardless of having surged during the position-squaring window.

My big question is regarding Tuesday's "top" when its new trend highs were book-ended by closing essentially flat with the open's 2751.00 gap up. The setup tends to precede a reversal, which there was on Wednesday. But that organic setup was overcome artificially, as weak-handed sellers reacted to news headlines. If the prerequisite recovery triggered a short-squeeze, then a strap in tight.

The chaRTroom will re-open Sunday night at with Globex. I'll monitor for pullback setups. There probably won't be much to do if the rally only resumes. Enjoy the weekend!

Details and other markets coverage are discussed in the post-market Wrap recording here. This being a holiday weekend, there is NO Saturday Review.