E-mini S&P begins possible weeks-long correction

Brooks Price Action - 09-25-2012 Tuesday

pending chart 1549

Opening Range, then wedge top, possible start of correction for several weeks.

  • Tuesday, September 25, 2012
  • Bar 1 - Yesterday = was weak bull. Gap up but bear bar so possible high of the day, higher high major trend reversal so ok swing sell or short and maybe scalp, but small bar so trading range most likely
  • Bar 2 - Bull reversal bar but small bar again. Bears might get out above but too far above moving average and too much selling pressure since 56 to buy or long
  • Bar 4 - Sideways bars and tails. Better to exit sell or short before report
  • Bar 6 - Micro double bottom, or, but report. Wait
  • Bar 7 - Breakout but big tail so not strong, but big enough body so more up likely
  • Bar 8 - Follow through but tail.
  • Bar 9 - Bear reversal bar but 1t body so not high probability so swing only or wait. Might be buyers below
  • Bar 10 - Close on low so better for bears but lp since 7 8 have big bull bodies, wedge 72 higher high major trend reversal and top of channel 18 65 yesterday so possible high of the day. Might swing and maybe part scalp
  • Bar 12 - Bear breakout so move stop to above its high, but tail so still trading range pa. Better to scalp at least part
  • Bar 13 - Inside bar so fail, failure bear breakout and breakout pullback buy or long from 7 breakout, but 5 bar bear microchannel and not strong bull so probably sellers above.
  • Bar 15 - B2 buy or long at moving average, bull body, bears will exit. Swing bulls will buy or long as breakout pullback, but every bar today has tails so trading range pa and might be in tight trading range so not high probability so swing only or 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 This material may not be published, broadcast, rewritten, or redistributed.

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