E-mini S&P falls after failed breakout

Brooks Price Action - 04-01-2013 Monday

pending chart 1980

Fail, failure breakout high of yesterday, big higher high major trend reversal, higher low major trend reversal, big two legged pullback in a bear move, h4 and wedge bull flag

  • Monday, April 1, 2013
  • Bar 1 - Yesterday = broad channel bull. Two legged pullback in a bull move 79 but 10 bar tight trading range, tail so lp.
  • Bar 3 - 3 bull bars so always in long, but top of channel and at high of yesterday. Buyers below or buy below, but better to wait.
  • Bar 4 - Big higher high major trend reversal, swing only since lp. Better to wait so second entry sell or bear breakout. Above all time high close on cash but below all time high so possible top for next few months
  • Bar 7 - Huge bear bar, 4 consecutive bear bars, always in short, but stop above 7. Big tail at 60 minute 20 bar exponential moving average and 36 low support so possible sell vacuum and low of the day
  • Bar 8 - Bull body so fail, failure breakout, but big tail. Still always in short. Breakout pullback sell or short but sell climax at support so lp =swing only or wait. Unclear so trading range likely
  • Bar 12 - Double top 9 but tight trading range. Ok swing sell or short
  • Bar 14 - 2 strong bear bars, close below 60 minute 20 bar exponential moving average, more down. Bear trend
  • Bar 15 - Tail so possible 1 � 3 more bars down, then pullback. Low of yesterday and leg 1 equals leg 2 measured move just below. Better to scalp sell or short until pullback
  • Bar 19 - Leg 1 equals leg 2 measured move, consecutive sell climax, low of yesterday, trend channel line 79 7, but bear body and tight channel. Should begin trading range so buy low of week sell high and scalp. Less likely, low of the day. Bears will scale in above. Spike and climax channel down to support so probably bulls scaling in lower and bears scaling in higher so trading range likely
  • Bar 22 - Breakout pullback sell or short but 2 bear bars. Should hit 19 close where bears were selling closes, but should be buyers scaling in below for trading range
  • Bar 24 - Two bar revresal, double bottom, targets above, but might go sideways so lower probability. Exit shorts, possible low of the day
  • [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.

Originally published on BPA Forums. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Comments
comments powered by Disqus