E-mini S&P looking for reason to breakout

Brooks Price Action - 09-04-2012 Tuesday

pending chart 1531

Bear breakout of yesterday possible triangle, fail, failure breakout of bottom of trading range, trending trading range day that became bull reversal day after higher low major trend reversal

  • Tuesday, September 4, 2012
  • Bar 1 - Yesterday was big possible triangle and ended with tight trading range. Bull bar but tails. More tight trading range. 1 month tight trading range so should get big breakout ud soon. Maybe with Obama or Fri unemployment report. Sept and oct often have big moves. Might stay in tight trading range until then
  • Bar 3 - 2 bars close on low, good for bears, but most trading range breakout fail, failure. Better to wait
  • Bar 4 - Strong bull reversal bar, two legged pullback in a bull move 80, fail, failure breakout tight trading range, but tight channel and better to wait
  • Bar 6 - Double top 81 but bottom of trading range, and report soon. Wait
  • Bar 8 - Big bear bar, close near low, breakout, always in short, more down. Traders sideways to down this bar as it formed and on its close
  • Bar 9 - Follow through. More down, sellers above
  • Bar 10 - Two legged pullback in a bull move 4, two bar revresal, but tight channel and targets below. Don't buy or long. Breakout pullback sell or short, but tails and just above bottom of trading range. More down so ok sell or short with swing stop, so trade small. Swing stop above 8
  • Bar 13 - Final flag 10 but bear bar and targets below. Don't buy or long
  • Bar 14 - Big outside up bar but just above bottom of trading range, and tight channel. Wait
  • Bar 15 - Bear inside bar, double top 10 so ok swing sell or short, but just above support and/or resistance, and lots of tails and far from moving average. Better to wait
  • Bar 16 - Micro double bottom but bear bar and always in short. Probably sellers above
  • [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.

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