Proper context can start the day with a solid win and make all the difference.

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... Gapping down 20 points at Monday's Globex open in reaction to North Korea's actions produced an overnight range largely defined as 2423.00-2436.50. It was centered around the decline's 2427.25-2429.00 objective that had become likely when last week's tests of 2438.00 had failed to end the decline. Tuesday's opening bar printed all of 2427.25-2429.00, which immediately launched a session-long rally up to 2448.50. The last half-hour consolidated down to its 2445.00 close. Overnight action's new info... Tuesday night's Globex quickly recovered to probe Tuesday's high by 1 point. Ranging narrowly at 2449.50 spiked up into Europe's opens testing 2454.00. Little time was spent there before sliding back down into Tuesday's range. If, then... Touching 2448.00 yesterday required closing above it to be bullish. Not closing back under 2438.00 prevented it from being bearish. But it's not a reliable base for extending the recovery. The reaction to testing 2454.00 resistance highlights the thin sponsorship. Testing it intraday isn't required, and it's no likelier to hold. But having probed the prior session's high overnight, maintaining an open under the overnight low usually puts the morning on defense. And there's room down to 2438.00 if only to build a better recovery base. First Trade... [Click here to view the Bias parameters] Exiting the open at 9:45 above 2453.25 would be likely to trigger the 2450.50 bias-up signal at 10:15. Exiting the open under 2446.00 would be unlikely to trigger bias-up. Phonetic dictation... hey good morning it is Wednesday it's time for Wednesday's morning market tour second Tuesday in a row something about Tuesday's huge intraday one-way skis me Relentless rally not that the last one accomplished anything durable and not that this one will but there's a chance chance this was a really big test is open 24 25 2429 objective that was never required tried and tried to hold the opportunity so the prior sessions range overnight his reversed to open an exit be opening 15 minutes open under the opposite end of the other night range so they overnight high was probed exiting the open under the overnight low would be bearish barish to 2438 if not 35 head again on the first shot probably limited to that and maybe that's the only shot they're probably bounce to some degree from there so the upside is going to need to hold positive territories going to need to avoid 2445 or if there is a pro Bender 2445 is going to need to recover it preferably before the open and not look back or at least isolate any kind of dip under 45 to the opening 15 minutes and already have recovered it back about 48 that would be bullish or would put the bullish spin back in or just already be back and rally mode 5050 5050 is the bias of signal it gets to 5750 and probably 261 say the clothes next lower objective that didn't hold 13 10:50 and not even an objective just pulled back them it under 13 1050 would indicate that despite having his Gap up outstanding above all prioritize that would want to be retested which by the way is a break out or amount to do a breakout multi-session range even after Friday's gyrations still ended in the range Monday was a break out Tuesday was it's confirmation so we know however deep the pull back stretches there's at least a third of ential her clothes outstanding and last night did dip to attack 13 10:50 which you can see it support so there's no Assurance of recovering 13 1850 1319 this morning but that's basically Now by signal Buy Signal it gets back to the high someone similarly on Silver but not as stretched just slightly deeper 1780 Target outstanding not the same break out and confirmation but being a company and hire a company company and gold higher Long Pond has higher highs overnight that weren't retested intraday they were attacked before sliding stopping not in the silly optimistically short of lower price but there is that room coming stop short twice filling the Gap testing lower paralyzed if that Gap is filled at the lower price or touched it's probably to be probed dead + 15616 + - crude oil still under pressure flat to lower then a lower overnight but the drain remains and play down to the next targeting 45.58 reports this morning it's not being greeted from a position of strength and then Natural Gas natural gas on Monday this huge fluctuation  .

Pre-open dip holds support. Having probed yesterday's high overnight, exiting the open under the 2445.25 overnight low would have reversed momentum down. It was probed pre-open and post-open down to 2442.75, with an interim test of 2445.25. 2445.25 was recovered again well before the opening 15 minutes of volatility had lapsed. And that has since extended up to 2449.25. The usual reward is at least to retest the 2454.25 overnight high.

Normally, this setup also would marginalize sellers through at least the morning. Today is suspicious, for a couple of reasons -- lacking velocity at the inflection points, and 1-minute RSI repeatedly avoiding overbought territory.

No consequence is required, but often another downdraft develops anyway. If a downdraft does develop, it would likely be absorbed, and recovered, attracted to a retest of the overnight high.

WED afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above  2454.00 2453.00 ...would target  2459.75  2458.75 Bias-down: under  2448.50 2447.50 ...would target 2442.50  2441.50 Signal status: BIAS-UP 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's buy signal still intact. A reward for absorbing the overnight sellers was at least to retest the 2454.25 overnight high. Having probed above yesterday's high, exiting the open under the overnight low would have reversed momentum down. But trying to reverse down, and failing, would deserve a reward. The open only temporarily probed the 2445.25 overnight low by 2-1/2 points. And now the overnight high is being probed up to 2458.75. That's this afternoon's bias-up target. Like this morning's 2457.50 target that was never triggered, each is likely only temporary resistance. Just having recovered 2448.00 and 2454.00 has already put into play 2461.00. And then 2477.00 could be tested or attacked, too. Simultaneously overbought 1-minute and 3-minute RSIs at the high require its retest if reversed down now. A reversal has room down to 2452.00 before beginning to signal the rally is done. Otherwise, resolving up would next target 2461.00.

Wednesday's opening test completed a bullish setup that all but required retesting the overnight high [view a video description of the setup here]. That was 15 points above the open's low, and it still was only one of the session's most impressive features. There was the relentless slope through the morning and into the afternoon bias environment. And there was also the two-hour narrow hovering at session highs. Of course, relentless steep trending often reflects corrections. Durable trends contain consolidations, backing-and-filling, and generally refuel buyers. An extended tends to mean that the counter-party is granting an easement. Slightly higher highs testing 2461.00 is still a possibility, if not also 2469.00. Even 2477.00 could be touched before reversing down, all within the context of being only a temporary correction. 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 2461.75 2460.75 ...would target  2467.00 2466.25 Bias-down: under 2452.25 2451.50 ...would target 2446.00 2445.00 Signal status: BIAS-UP, BIAS-UP TARGET EXCEEDED 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.