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NEW 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... Rallying overnight gapped up Tuesday to within 2-3 ticks of the 2405.00 objective. One or two nanoseconds later, maybe three, a reversal down was already back under prior highs. The 2401.00 bias-up signal didn't trigger, and the morning's low bottomed 1 point short of fulfilling the 2392.75 bias-down signal's offsetting test. Oversold RSIs were also left outstanding at the low. Bouncing back to 2401.00 during the noon hour then ranged sideways through the close. Overnight action's new info... Shy James Comey discretely broke his silence after the close by way of a New York Times story. Reaction to his memo's select excerpts was immediate, and substantial. A 2-1/2 hour, 18-20 point slide attacked Thursday morning's 2379.00 low to within 1 tick. Quickly bouncing back up to 2385.50 was consolidated into Europe's opens, and now this morning's 2388.75 bias-down target is being tested. If, then... The market is adjusting for the political uncertainty of the President's administration, if not also for the political certainty of passing his economic legislative agenda that had motivated the rally. Does the market really care enough to reverse its trend down prematurely? Since actual headline surprises are sponsored by weak-hands, an interesting dynamic to their reactions is they tend to be temporary. The market was vulnerable to reversing down at any time, but this catalyst is artificial. A very real decline with organic roots probably still lies in waiting at new highs. "Ineffectual pessimism" at yesterday's brief high also keeps alive potential for probing higher. None of which precludes post-open weakness, either brief, or potentially extending down to 2375.00. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 under 2387.50 would be likely also not to recover the 2388.75 bias-down target by 10:15, renewing the bias-down signal. Exiting the open under 2391.00 would be likely at least to trigger the 2394.25 bias-down signal. Phonetic dictation... good morning good morning welcome it is Wednesday it's time for Wednesday's Morning Market to her why was looking at the one in charge here that's a nice overnight rally nice overnight rally ten-pointer wait a minute that is off of a pretty big love so right after the news yesterday I'm so ready to close yesterday it was quickly because bombshell hit to go through the the grinder of the 24-hour news cycle they can stretch it out to 5 days if they had if they must if the next news item doesn't come along fast enough but anyway we had consolidating had been consolidating what was at the open a really quick fresh hotline greeted the opening your eyes to Gap up above all prize that wants to be filled very brief restrained optimism African trade prospective potentially Bush that wants to be retested very very steep drop we knew that there was some point maybe a little bit higher couple pics are at least maybe even higher than that a reaction down coming not really right away either and the delay and actually extending exploiting the Gap up didn't make the downside any likely to develop to develop but just made the downside likelier to be substantial if it develops and it developed and it was substantially more substantial under the overnight low it happened afterward you know the rest of the day after the buy some of it was that entered it was already under way the mornings by its environment when the bottom was made the balance of the session is the new tower High arranging sideways to the clothes I don't close drop to this leg being even more substantial of course it was vulnerable and it's been vulnerable ever since printing that shallow higher high that structurally calculable e maybe didn't hit the likeliest of objectives but but structurally that was enough to note on their ability and it's been nothing but since that first of all whatever whatever was coming its way initially but ultimately last night on the news so artificial here this is actually more organic yesterday's Post open high post over-reaction down I think it still would have been returned it if not for this news in fact I can guarantee it would have been her tested if not for the news That's the only kind of guarantee can make it anyway anyway this is a reaction and maybe it's accelerating pressure that would have developed a way but it's not coming from more hands even though just a little bit higher we might have seen some more substantial selling and durable so I got that strong and its sponsorship coming in because this is week and it's selling pressure it's had to say this is the lower that I can't be extended of course it can be as I have to say that the low yeah just got a couple hours away the entire session could be spent in decline or probing lower 275 or 70 the point is that this is artificial selling pressure and so being weak and it attracts strong hands to come in and exploit that these are weekend players it just a new opportunity arose and so there's a little shift and the dynamic I supposed to paradigm shift so little and we come back to the hotheads would likely scenario whether it's this lady that does it or not this down leg has yet to prove that it has reverse the trend and the bigger picture you can see it's it's got a good shot at proving that or at least try there's yesterday's high reversal down attacking infects topping optimistically short by the way Thursday morning's low RS eyes were not over so the back door size diverts possibly if there's a slow so there's no acquired retest there but there is produced the new hi there is no bullets reason to be retesting at Lowe's so actually proving that low would not be bullish itself so we can get out of here without having to retest the overnight low but if we retest last Thursday so probably work heading lower 275 if not also 2370 before still being capable of recovering we're going to have to take out 2370 before writing off new eyes alright as far as the open goes to buy a subsidized and Target is 88-75 we're down recovering to the bias down Target a couple of ticks away I take away so that's how much sewing pressure has been over night or how far removed we are from yesterday's clothes still potential to recover and we could be coming out of here and reload the point is if the bus down Target isn't recovered course we're going to the bus down and purposes will be looking at that point for 25 resistance that is likelier than not to hold and produce one more at least when we get back to last week so found a little firmer little slower no reason to suspect that that the euro is topping here and in fact it is extending higher overnight reproving higher Looney which presumably is fulfilling or playing out that is a no for the night silver and gold on the stock market decline which is interesting because that's for silver 1705 1709 resistance then likely to be tested if 1675 is recovered maintains its recovery really close gold also up breaking higher breaking out of that 12/28/12 36 range and therefore expected to fill this Gap two-week-old Gap now that it's been filled overnight that the Gap is about 12:40 815 12 4890 now that it's been filled overnight we focus on the lower end of the structure containing the Gap the low end of that structures of sensually 1245 2550 so having fill that Gap closing today back under the lower end of that structure to love that structure 12 45 50 would tell us the Gap held Hammer trending back down that is the likelihood anyway I mean there is a higher Prairie low if this intent if this extends any hired 1252 5053 for a whole day that's the reward for all until 45 50 12:45 long but also hire you know it went out yesterday it tested 15122 without testing it without recovery 152 he's recovered 152 today which it is certainly probing overnight in order to reverse complete the reversal here member ongoing series a little as little as there's a higher high and then a higher low didn't close higher yesterday take out the probe of that hire hi there try close above the actual clothes would be 150 to afford 150 to his resistance and we'll look at the lawn but as having bottom and reversed its Trend oil still fluctuating in this rain Gia report this morning here so good opportunity rally on the news if there's no Riley on the news then the next objective the next objective is to fill the Gap back to the low potentially for much stronger bottom and then Natural Gas which extended down for a second cuz they actually the first time to 321 321 support because that was the original cell signal that was recovered so it's natural support having tested it needs to break under it took them down right here any questions going I'll see you there good luck today .

Overnight lows probed into and out of the open. Overnight bouncing from its 2379.25 low had touched the 2388.75 bias-down target as resistance. That immediately launched a reaction down to fresh lows at 2376.00 just before the open. Bouncing 8 points through the open attacked 2384.00.  Almost any higher would have started reversing momentum up. Holding it would be likely to produce fresh lows. Which is how the first half-hour resolved, attacking 2372.00.

The next lower objective under 2375.00 has been the 2370.00 area, which was tested in the past several minutes. RSIs diverged positively, and the prior low was being overlapped by the same an hysterical extreme. Things could get worse, but a near-term pause for the market to catch its breath could allow the rubber band to snap back up from here.

An inflection up above 2374.50 would be credible for extending higher. Reversing up relentlessly is always unlikely, even less so here. But 2369.75 may need to be broken before suggesting this morning's action will bleed into the afternoon.

WED afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above  2380.00 2378.50 ...would target  2385.75  2384.25 Bias-down: under  2371.25  2369.75 ...would target 2364.75  2363.25 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.

Still probing fresh lows. This afternoon's 2369.75 bias-down signal didn't trigger. That hasn't prevented probing under it anyway, which had become somewhat likely since its ongoing test wasn't being rejected. This morning's 2366.25 low has now been probed by 3 ticks. That's "no-bias trending," which is doomed to failure. Breaking the bias-down signal too late must be retraced. Eventually. Often the same day or timing window. Sometimes much later, and from much lower. Exiting the bias environment at 2:30 back above the bias-down signal would be a good start at a short-squeeze. Exiting above the 2374.75 prior high would be better. Regardless, the prior high's recovery can't wait for the final hour, or else the decline would be vulnerable to extending. P.S. This cycle's WedEX will trigger this afternoon. It's signal isn't obvious, which we'll discuss later.

Wednesday afternoon's slide originated during a no-bias environment. Its 2369.75 bias-down signal wasn't broken until after 1:30, which is too late to trigger or to invalidate. The "no-bias trending" is doomed to failure, but that didn't prevent extending down sharply to test 2358.00. Regardless, and from whatever level, the break must be retraced at some point. Wednesday's bearish WedEX signal is neither passive nor active. The session's break was the first to close under a prior range. So, actually, WedEX is not YET passive or active -- that will be determined by Thursday's open either recovering prior highs, or not. The bigger picture is at risk of unraveling to the downside. But that would require another session like Wednesday, relentless albeit shallower. Wednesday's close under its prior low, following Tuesday's fresh high, is the basis for reversing the trend down. While new highs remain possible otherwise, reversing up to that degree is not likely before basing for awhile. And that's the bullish scenario. Details and other markets coverage are discussed in the post-market Wrap recording here.

Monitor overnight Globex trading in the chaRTroom here.

THU morning signal (triggered at 10:15 ET) SPX ES Bias-up: above  2362.75 2361.25 ...would target  2369.75  2368.25 Bias-down: under  2354.25  2352.75 ...would target 2348.00  2346.50 Signal status: LATE BIAS-UP 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.