E-minis trend higher, buying opportunities in pullbacks

Brooks Price Action - 06-05-2012 Tuesday

pending chart 1388

2nd leg up from low of yesterday, spike and channel top with spike up to 12 then two legged pullback in a bull move buy above 31 or 35. Strong breakout 37 for another spike and channel top

  • Tuesday, June 5, 2012
  • Bar 1 - Y=ended with strong bull leg and a two legged pullback in a bull move buy. Might get leg 1 equals leg 2 measureed move higher low major trend reversal. 81 is signal bar for two legged pullback in a bull move buy and it is at bottom of trading range, but tail and 80 strong bear so ok to wait. Strong bull bar, so swing bulls will buy close with stop below
  • Bar 2 - Bull body so follow through and buyers below
  • Bar 3 - Breakout pullback buy but doji and top of trading range so scalp or wait, since report soon
  • Bar 6 - Report next bar. Always in long and no good short setup. Better to wait for report
  • Bar 7 - Big bull bar so more up. Probably ok to buy close, but tail and just below 60 minute 20 bar exponential moving average
  • Bar 9 - Bear inside bar but tails so buyers below. Weak breakout pullback buy so probably sellers above, especially since tails 7 8 and 60 minute 20 bar exponential moving average above
  • Bar 11 - Big outside up bar but tight trading range so possible final flag. Better to wait
  • Bar 12 - Big two legged pullback in a bull move final flag, 2nd fail, failure breakout high of yesterday, leg 1 equals leg 2 measureed move from yesterday, but doji. Bear body so ok short scalp for test of moving average. Might be in tight trading range for hours. Less likely, bull or bear channel. Better to wait to buy around moving average since not strong bull. Possible high of the day but tight trading range more likely, and weak signal bar, so better not to swing short yet
  • Bar 16 - Breakout, close below 15 so might be measuring gap
  • Bar 19 - Bear inside bar. 8 bar bear microchannel and probably trading range so better to not buy above and only look to buy breakout pullback. Breakout pullback short but bottom of probably trading range so better to not short below. Buy low sell high and scalp and now low so better to look for buy, like 2nd entry breakout pullback
  • Bar 20 - Two bar reversal at moving average but bear microchannel and not clear strong bull trend so breakout will probably get pullback. 17 might be one bar final flag so might go up here. Ok buy but higher probability to wait to buy b. Trading range or bull trend so don't short down here. Still always in long
  • [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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