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With a clearer understanding of Lt. Gen. Jubal Early's strength, Maj. Gen. Philip Sheridan's divisions marched south from Halltown to Berryville on September 3 while Early sent Gen. Kershaw's Division east on a reconnaissance from Winchester out the Berryville Pike. At about 5:00 p.m. Kershaw attacked Col. Joseph Thoburn's VIII Corps division while the men were going into camp about one half mile west of Berryville. Kershaw routed Thoburn's left flank before the rest of the corps came to the rescue. Darkness ended the fighting, and both sides brought up strong reinforcements during the night.
Early brought up his entire army that night. The next morning, when Early saw the strength of the Union entrenched position, he withdrew once again behind Opequon Creek.
Sheridan telegraphed Lt. Gen. Ulysses S. Grant about the difficulty of attacking Early because the "Opequon is a very formidable barrier." Early withdrew after dark behind Opequon Creek.
Sheridan was unwilling to risk a pitched battle since a defeat in the Valley would open an invasion route to the North again just 2 months before the U.S. presidential election. Neither army moved for two weeks. The soldiers called this sparring between Sheridan and Early the "Mimic War."