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

Through the prior close... (summary of last Market Wrap) Friday's story begins on Thursday, with the morning's 40-point drop from 2970.00. It was consolidated through the afternoon, and then resume during overnight Globex trading. The 2904.00 overnight low was recovered to open Friday unchanged from Thursday's 2941.50/2944.00 closes. Thursday's low had been a test of 2930.00-2934.00 support, which Friday morning's bias environment probed several times. Trending up through the noon hour back to Thursday afternoon's highs eventually ticked higher through the close up to 2957.50. But still no trending for a fifth consecutive session since gapping up last Monday. Overnight action's new info... (nearby chart is last intraday session and Globex) Sunday night's open momentary blip-down to 2947.50 was recovered by a surge above Friday's highs. The probe was consolidated through Europe's opens, and surged again to fresh recovery highs. Firming into Monday's early Globex close got to 2990.00. Monday's open also dipped, not much deeper or for much longer before resuming the rally. But much more aggressively, extending sharply through midnight to 3012.00, and cycling higher since then to most recently touch 3015.00. If, then... (notes to accompany the Tour recording) The tie breaker for resolving 2930.00-2934.00's support test bullishly was not to delay extending higher coming out of the weekend. This would qualify. More so, the weekend rally defies various anxieties, from geopolitical over Iran and China, economic over Hertz bankruptcy, and Tech over bias investigations. Insider selling has been reaching a fevered pitch, and sentiment reports warn that Tech outperformance and retail call buying are at pre-reversal levels. Proving much more influential seems to be the landmark events like re-opening the NYSE floor, and various regions having lifted their lockdowns,helped by MRNA announcing positive results again yesterday, and more global monetary assistance. Regardless of how high this morning may gap, it will NOT require a retest from below since price action through Friday had been ranging and not trending. However, the overnight high does qualify as a new Globex trend extreme which requires eventual intraday retest. The only other setup forming is Relentless Overnight Trending -- and that's bullish unless the open trends down, or if only the open has trended up. First Trade... (9:45 preliminary indications for the 10:15 Bias parameters)

Tuesday's open is indicated well above the bias parameters.

But overnight momentum reverses down. Optimism remained in control throughout the Relentless Overnight Trending, but had been restrained for hours at 3012.50-3015.00.  A late pre-open surge attacking 3020.00 squeezed optimism too much to be maintained. The open dip's reaction attacked 3006.00, and only bounced to 3014.00 before resolving down to fresh lows testing 3001.00. The Relentless Overnight Trending setup obviously didn't attract stronger-handed intraday reinforcements. So, we have a high degree of confidence that this morning's bias environment will either probe lower lows, or at least not launch a recovery before 11:30-noon when the bias environment lapses. At the moment, a bounce IS trying to reverse the morning back up above 3011.75. Its objective would be to at least retest the 3019.75 pre-open high's new Globex trend extreme. Currently, it's premature compared to the bearish setup. Back under 3006.50 would signal 3011.75 had held as resistance.

TUE afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 3014.75 3011.00 ...would target 3024.50 3020.75 Bias-down: under 2994.75 2991.00 ...would target 2979.25 2975.50 Signal status: NO-BIAS . 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.

Morning's drop trying to recover. the Relentless Overnight Trending failed to attract post-open reinforcements. That doesn't necessarily default to reversing down, but the open did already attempt it. And that gave sellers a benefit of the doubt for absorbing bounces, if not also for probing fresh lows. Often the morning's low will lie in the 11:30-noon cusp between timing windows. The 3016.25 open fell to 2996.00. Bouncing through the noon hour retraced 61.8{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} of the drop to 3008.50. And now that's being probed be 1 point above the 3011.00 bias-up signal. The signal is too late to trigger, and only overlapping it at 1:30 doesn't qualify for invalidating the no-bias that already triggered at 1:20. 3011.00 should define the next hour's upper-end. Probing above it would be no-bias trending that requires its retracement. Meanwhile, a sell signal has plenty of room down to 2991.00 during the no-bias environment, but no requirement for its test.

The Memorial Day holiday rallied from Sunday night's open to Tuesday's 3019.75 pre-open high, forming a Relentless Overnight Trending setup. Countertrend sponsorship reacted down to take control of the morning, extending lower to test 2996.00 before noon. Retracing 61.8{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} back to pre-open highs at 3012.00 held through the no-bias environment. A headline's negative knee-jerk reaction gained traction by hitting in late-afternoon, telling us to expect extending down through the close. That insight was rewarded by falling another 10 points to test the 38.2 of the 38.2 gap-to-gap retracement down to 2983.50. The (bear market?) rally's previous highest probe above 2930.00-2934.00 was last week's tests of 2976.00. Two consecutive closes above it would confirm the next higher objective at 3288.00 is in-play. So, Wednesday need not close higher than Tuesday, only higher than 2976.00 again. Tuesday's 3020.00 pre-open high is a new Globex trend extreme that requires eventual intraday retest. Not in any specific time frame, but currently its nearby attraction could enable trending up Wednesday. Extending Tuesday's late-afternoon collapse has no requirement to recover, let alone a requirement not to extend down. Tuesday's gap up above all prior highs doesn't require being filled because it appeared from a multi-session range, and not during ongoing trending. 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.

WED morning signal (triggered at 10:15 ET) SPX ES Bias-up: above 3000.25 3000.50 ...would target 3016.25 3012.50 Bias-down: under 2979.25 2975.50 ...would target 2963.50 2959.75 Signal status: LATE NO-BIAS, BIAS-UP TARGET MET . 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.