Stock index price action trends from first bar: Brooks

Brooks Price Action Analysis of Thursday, Oct. 10

pending chart 2363

Trend from the first bar bull, lower high major trend reversal, trend resumption

  • Thursday, October 10, 2013
  • Bar 1 - Trend from the first bar bull. Big gap so probably sideways for 1 -2 hours. Close on high, ok swing buy or long for possible low of the day
  • Bar 2 - Follow through, more up
  • Bar 4 - Fail, failure breakout but 3 bull bars, buyers at the low of week of the bar and probably scaling in lower
  • Bar 8 - Fail, failure breakout, but 8 bar microchannel so buyers at the low of week of the bar and probably scaling in lower
  • Bar 10 - Breakout pullback buy or long, ok swing buy or long
  • Bar 18 - Higher high major trend reversal but nesp so sideways more likely
  • Bar 19 - Bear breakout but bottom of trading range so look to buy or long
  • Bar 24 - Breakout, ok swing buy or long
  • Bar 25 - Follow through, more up
  • Bar 31 - Expanding triangle, higher high major trend reversal, but small pullback bull so sideways more likely than down. Might go sideways to moving average
  • Bar 33 - Breakout pullback buy or long but tight trading range no scalping with stops. Better to wait for test of moving average
  • [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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