E-mini S&P reverses after a higher low

Brooks Price Action - 12-04-2012 Tuesday

pending chart 1662

Trending trading range day, wedge bottom, higher low major trend reversal

  • Tuesday, December 4, 2012
  • Bar 1 - Yesterday a bear spike and channel top with buying pressure into close of day. Odds favor bull breakout of bear channel and then trading range. Doji trading range bar. Weak lower low major trend reversal so ok swing buy or long
  • Bar 2 - Strong bull bar, micro double bottom, ok swing and maybe scalp. 30% chance low of the day
  • Bar 5 - Bull outside bar surrounded by inside bars, moving average, lower high 76, but trading range so higher probability to scalp sell or short or wait. Buy low of week sell high and scalp
  • Bar 7 - Two legged pullback in a bull move 4, higher low major trend reversal 1, but trading range most likely
  • Bar 8 - Big bull bar, more up, but top of trading range so better to wait
  • Bar 9 - Bull follow through but top of trading range. Wait
  • Bar 10 - Bear inside bar, two legged pullback in a bear move 3, higher high after higher low so now bull trend, but trading range day most likely. Wait to see if buyers below and get breakout pullback buy or long. Ok swing sell or short also
  • Bar 14 - Micro double bottom, expanding triangle 70 1, but 3 big bear bars. Sideways then two legged pullback in a bear move most likely. Bears will want trending trading range day, bulls want expanding triangle lower low major trend reversal or at least a trading range day. Trending trading range day most likely
  • Bar 17 - Outside bar surrounded by inside bars two legged pullback in a bear move, swing and maybe scalp. Odds favor trending trading range day with upper trading range beginning yesterday around 50
  • Bar 18 - Bull reversal bar, expanding triangle 70 1, second entry buy at low of trading range day. Outside down bar swing buy or long, strong 10 11 12 so not high enough probability for scalp buy or long
  • Bar 21 - Expanding triangle but doji and not enough buying pressure since 10. Wait
  • [more Bar-by-Bar Analysis, Daily Webinar and Trading Course info at www.brookspriceaction.com and www.brookstradingcourse.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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