E-mini range bound after bear spike

Brooks Price Action - 05-07-2012 Monday

pending chart 1356

Trending trading range day, trying to base for bear rally for a day or two before another leg down. Less likely, bottom of 60 minute trading range and then bull breakout to new high of yesterday

  • Monday, May 7, 2012
  • Bar 1 - Yesterday was bear spike and then trading range since 27. Gap down, strong bull bar, after large two legged pullback in a bear move yesterday so good setup for low of the day and final flag buy. Ok swing and probably scalp buy
  • Bar 3 - Always in long, 3 bull bars but still could be or short. Odds are buyers below since strong up and context good for minor bottom
  • Bar 6 - Strong bull bar at moving average, higher low, but top of trading range since 27. Ok swing and scalp, but in trading range, better to scalp or wait
  • Bar 8 - Two bar revresal, double top, bear bar, ok swing short and probably scalp. Probably still always in long
  • Bar 9 - Two bar revresal, big bull bar, but top of trading range so wait
  • Bar 11 - Fail, failure buy, possible triangle 3 7, but doji signal bar. Another fail, failure at moving average. Probably buyers below
  • Bar 13 - Two legged pullback in a bull move 10, trading range day, fail, failure breakout 11, probably still always in long, but not strong signal bar
  • Bar 17 - 2 big bull bodies, no tails, more up. Buyers below. A low of today og buying pressure today so odds favor sideways to up
  • Bar 19 - Bull breakout but tail and top of trading range so not strong buy
  • Bar 21 - Two legged pullback in a bear move 17, top of trading range, but tight channel and doji. Now above moving average so moving average probably will be support after 3 prior fail, failure breakout of moving average
  • Bar 23 - Two legged pullback in a bull move above moving average but dojis and tight trading range and top of trading range day. Wait
  • [more Bar-by-Bar Analysis in the Forums at www.brookspriceaction.com]
About the Author
Al Brooks

Al Brooks, M.D., is author of the Brooks Trading Course (27 hours of videos at BrooksTradingCourse.com), several books on Price action (Reading Price Charts Bar by Bar: The Technical Analysis of Price Action for the Serious Trader, Wiley, 2009, and the 500,000 word, three-book series, Trading Price Action, Wiley, 2012), and numerous articles in Futures Magazine. He also provides live intraday E-mini price action analysis and free end-of-day analysis on www.brookspriceaction.com.

Originally published on BPA Forums. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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