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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... The air pocket under 2495.50 made itself obvious Monday morning. N. Korea war talk triggered a plunge through it that reached the next lower "lower prior highs" at 2485.00-2486.00. Three bounces up to 2492.50 finally broke higher during the position-squaring window, but only to touch 2495.50 at the cash session close. Even then, extending to 2498.25 through the futures settlement was too little, too late. The break lower gained traction, despite leaving "unfinished business above" at the morning's 2503.00 objective to be met eventually. Overnight action's new info... The Globex session's first order of business was to retrace the position-squaring window's surge by sliding to 2492.75. The balance of the night has ranged sideways up to 2497.50, centered around 2495.50. If, then... Yesterday's late surge hasn't been rejected or reversed. It has been retraced, albeit not entirely and not sustainably. But neither has the surge been extended any higher. A morning rally remains possible, but probably only if it's obviously underway at the open or soon after. Delaying any rally effort could start getting top-heavy quickly, and become attracted back down toward yesterday's lows. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 under 2495.50 would be unlikely to trigger the 2498.00 bias-up signal at 10:15. Exiting the open above 2492.50 would be unlikely to trigger the 2490.00 bias-down signal. Phonetic dictation... Alright good morning and welcome it is Tuesday it's time for Tuesday's Morning Market to or let's go through I think pretty quickly there's really one big question that is facing the market right now and that is did it or didn't it the it being a break under 9550 yeah there was a air pocket under 9550 it was probed there is a multi-session range from which that air pocket is derived right here I think I got that about right that air pocket was on the upside well lower price of the time singular numerical representation of its upper end was 9550 it was tested once and once it was tested again became Overkill just a matter of time before it would break and the lower-end being the first attraction usually being probed this is how I describe it last week it would happen and typically then bouncing back to that lower end at the defined by 9125 9250 that's actually right here and then the resolution in the resolution is what tells us whether this break has legs weather gained traction the resolution needs to recover that end of the range 9550 it looks like it did right is what matters and that singular numerical representation of what was the upper end of that multi-session range that the find price action yesterday wasn't recovered through the right to 9550 and even then it was wasn't anywhere near there by the time we got to within three minutes of the meeting it was we can continue it continued buying all the way up to 97 + 50 even 9825 through the through the Futures open or closed Globex open so it didn't get anywhere for it and now overnight they haven't done anything except it's a 60{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} retracement back to yesterday but that may be stopping optimistically short so which but if that optimistic Lee is going to attract any other overly optimistic buyers it needs to be obvious through the open so if the open is immediately rallying it would be credible for extending the open is not immediately rallying it won't be credible for extending it would be pretty quickly and I don't necessarily there's no requirement to just suddenly collapse but the attraction if top-heavy if not attracting reinforcements the attraction is back into yesterday's range probably something on the order of 2490 you can see it right here at 38.2{faed0d6dca04cec8b6b7985efddb9b0651107a3aebb05f69f0166038b8c951f6} retracement back into the rain maybe even deeper may be attacking the lower end of the range there's four pieces of data that are released at 10 and one of them is influential but for simultaneously have all of them anyway there's a lot going on this morning North Korea's seems to be not impressive or off the radar so to speak of the market will say they tend to jump up and try to get attention whenever lately whenever that's been the case so don't count on that anyway so those are the challenges if we can get a rally going over there at 2503 but the base because 2495 50 wasn't recovered in time if it was recovered at all is the basis not able to launch a durable recovery you can still on Bounce but only temporary one alright overnight to fully retrace the actual but the actual that preceded the rally not all the way but it has been touched so I would anticipate the entirety of it will be as we've been expecting it's a little late now so we didn't get a bounce that would have been the corrective bounce limit and it was sort of got something but not overnight so the odds so I'm really just going to take that away that's decline largely fulfilled at least objective the Yen still waiting on it hasn't confirmed outstanding breaking its cell signal or probing it again it was yesterday at probing even lower overnight and see which had held a very disruptive to the overly pessimistic today being probed actually buy fresh Lowe's so I just don't have as you can see I don't have a set up here I don't have any pattern identified or signal but now having tested or testing Thursday we can identify that closing basically Thursday's range would be by the way that's where yesterday closed so by the way closing above closing above yesterday's close closing positive territory in other words closing in positive territory would be credible for retesting the high alright as well silver bounce to 1715 resistance overnight because of silver once some resistance is tested needed to be and still needs to be tested intraday so gold as I say it's a little more pronounced it bounced up to hire priority still though the Gap Gap Town needs to be tested from above so see if this gets it done Long Pond still suspicious about being able to develop as I said Shasta retested that loan out of reception of the decline button retested that low if it's going to get done if it's going to be were tested see if it's retested sooner rather than later it has a better chance it actually holding and formula snow overnight a little bit firming or flat to hire just hanging on so little suspicious because it was really the market falling apart which by the way was due to a headline so already there's some suspicion that it's not going to be retraced for that will be another crude oil breakout session range yesterday news related geopolitical Middle East turkey a rock so is that possible it's it's the kind of story that could be confirmed by 55 before the same thing today and there's no reason why it should have any better result in fact it's coming right into what is now higher priority is Friday's range so still looking for this to resolve down 2 - 84 close above 302 that as the bicycle because that's the nearest that I could consider a bicycle anything shallower we don't have any degree of confidence and momentum is actually alright any questions and I will see you there.

Late break higher holds up through the open. The overnight narrowing sideways range centered around 2495.50. Breaking higher greeted the open at 2499.00, where a brief reaction down to 2497.25 was recovered into a 2499.00-2501.00 range. For 45 minutes. The 2498.00 bias-up signal has triggered. It would be invalidated back under 2498.00 through 10:30. Otherwise, its 2503.50 bias-up target would also fulfill yesterday's 2503.00 "unfinished business above." It is equally vulnerable to a knee-jerk reaction to headlines of any escalation in the N. Korea spat. Meanwhile, Fed Chair Yellen is scheduled to speak just before noon. Just before the morning's bias environment finishes lapsing. Greeting the event from above 2503.50 would help to absorb any pessimistic knee-jerk reaction to her comments. In either case, the pre-open rally started too late to avoid its complete retracement. And yesterday's base already had closed too low for a rally effort to gain traction.

TUE afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above  2501.00 2498.25 ...would target  2507.00  2503.50 Bias-down: under  2494.75  2491.25 ...would target  2488.50  2485.75 Signal status: NO-BIAS, TESTED BIAS-UP 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.

Morning break retraced, but not rejected. Triggering this morning's 2498.00 bias-up signal didn't extend above the 2499.00-2501.00 post-open range. More so, it was reversed into a slide instead of rallying. Similar to yesterday, the bias signal held until several minutes after its break would have invalidated the bias-up. Also similar to yesterday -- which was a no-bias environment -- the late break didn't prevent sliding sharply.

A minimum objective at 2495.50 was tested on the way to 2492.50 support. The bias environment began lapsing with a 5-point bounce into the noon hour. Similar to yesterday, "unfinished business above" is left outstanding at 2503.50 (similar to yesterday).

Now this afternoon's 2498.25 bias-up signal is being tested, in a no-bias environment. The attractions above could help to break through. Meanwhile, 2498.25 should define the range's upper-end, and back under 2495.50 would trigger another slide.

Tuesday's pre-open breakout originated too late to be credible for extending higher intraday. But it did hold up high enough and for long enough to trigger the 2498.00 bias-up signal. Also too late was the bias-up signal's rejection. Crossing back under 2498.00 a couple of minutes after 10:30 was a couple of minutes too late to invalidate what had been signaled cleanly at 10:15. Tuesday morning's 2503.50 bias-up target became "unfinished business above." It can be fulfilled simultaneously with the offsetting test of Monday morning's 2503.00 bias-up signal that was also left outstanding. That's two consecutive morning bias signals that were derailed. Patterns often come in threes, so we'll be extra vigilant to this setup Wednesday. We'll also see whether Tuesday's late probe under 2495.50 cleaned out selling pressure, or attracted more. Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.

WED morning signal (triggered at 10:15 ET) SPX ES Bias-up: above  2502.00 2499.50 ...would target  2506.50  2504.00 Bias-down: under  2492.50  2490.00 ...would target  2486.50  2484.00 Signal status: noN-BIAS, TESTED BIAS-UP SIGNAL FAQ 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.