Tuesday Prep

The RTH profile above shows the open gap left from the breakout higher at the start of last week. There also hasn't yet been a retest of the 2888.75 January high (back-adjusted).

Overnight, following the labor day holiday, the price action has been pushing lower from a high of 2912.00 to a low of 2891.75 (Friday's low) versus Friday settlement at 2902.00.

I'm using a short term bull/bear zone as 2895.50-97.50 (Thursday RTH low at 95.50 & Friday's open at 97.50). The longer time frame bias remains bullish and short term I'm watching to see how the market reacts at the bull/bear zone. Holding below there could be setting up for a gap fill attempt lower into the 2874.75-77.50 zone. Above the bull/bear, there'll be pressure on the overnight shorts and we could make a move back to settlement and potentially higher into the 2911-13 zone. Above there I would expect more buyers to come into the market and keep momentum going higher.