E-mini S&P trends higher from first bar

Brooks Price Action - 02-27-2013 Wednesday

pending chart 1911

Strong trend from the first bar and small pullback bull. Two legged pullback in a bull move and moving average gap bar on daily

  • Wednesday, February 27, 2013
  • Bar 1 - Yesterday was a bull reversal bar. Doji in middle of 30 bar trading range. Better to wait. Tomorrow = end of month and bulls want bull or doji bar on monthly, so want close tomorrow above pink line = open of month
  • Bar 2 - 2 bull bars so always in long, but in trading range so swing only
  • Bar 3 - Bull breakout, but late in bull channel so might be buy climax at 60 minute 20 bar exponential moving average. Always in long so swing up or wait
  • Bar 4 - Bear inside bar but tail and strong breakout so more up
  • Bar 6 - One bar final flag, bear bar, but trend from the first bar bull so buyers below or buy below
  • Bar 10 - 3 more bull bars, more up. Trend from the first bar bull so buyers below or buy below. Target open of month just above
  • Bar 11 - Big bull bar so buy climax. Bulls probably will take partial profits. Probably will enter trading range soon, maybe for hours. Bulls will want trend resumption late in day and bears will want reversal. Since big buy climax late in bull and just above target, possible high of the day
  • Bar 13 - Bull inside bar but 13 bar microchannel = extreme buy climax so should be sellers above or sell above and should enter trading range
  • Bar 15 - One bar final flag, wedge 3 12, fail, failure breakout above yesterday bull channel, extreme buy climax = 15 bars. Should enter trading range and should get approx. Ten bar, two-legged correction sideways to down. Possible high of the day. Trend from the first bar but don't buy or long since also buy climax. Wait to buy or long pullback. Bears will scalp shorts and scale in above, bulls will take profits. Wait to buy or long lower
  • Bar 17 - Fail, failure breakout, db12,1st pullback, but extreme buy climax so sideways more likely and better to wait to buy or long. Odds favor trading range soon
  • Bar 21 - Breakout pullback buy or long but doji and consecutive buy climax. Probably sellers above or sell above. Better to not buy or long. Should enter trading range very soon
  • [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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