Following the price action higher in the E-mini S&P 500

Brooks Price Action Analysis of Thursday, Nov. 21

pending chart 2417

Trend from the first bar bull, trend resumption

  • Thursday, November 21, 2013
  • Bar 1 - Yesterday ended with parabolic wedge bottom. Gap up, strong bull bar, always in long. At 60 moving average so low probability buy or long above
  • Bar 2 - Bear reversal bar at 60 moving average, possible high of the day but better to wait since higher low likely
  • Bar 5 - Two inside bars, breakout pullback buy or long, swing only since tight trading range no scalping with stops
  • Bar 6 - Breakout, always in long. Might get final flag top
  • Bar 8 - Breakout pullback buy or long but tail so low probability and might be sellers at the high of the bar and probably scaling in higher for wedge top
  • Bar 9 - Wedge 1 6 but bull body and tight channel so probably buyers at the low of week of the bar and probably scaling in lower. Low probability sell or short
  • Bar 11 - Wedge second entry sell but doji, tight trading range, always in long, probably buyers at the low of week of the bar and probably scaling in lower. Every bull bar followed by bear bar so probably bull leg in trading range
  • Bar 12 - Two legged pullback in a bull move 10 but doji, wedge 6 9 so low probability. Swing or wait. Tight channel bull, 1st reversal will be breakout test or bought and then sideways likely
  • Bar 13 - Breakout so possible measured move up, stop below 12. Weak channel so probably will become trading range. Difficult to buy or long unless can scale in lower, since weak and can pullback at any time. Yesterday was outside up bar day, but strong selling at high of yesterday so probably wil find sellers again around same level. Tails so probably will be inside bar today on daily, so probably will not get above high of yesterday
  • Bar 17 - Fail, failure breakout yesterday 35 possible triangle, buy climax, but tight channel and probably buyers at the low of week of the bar and probably scaling in lower for two legs up after 13 breakout above wedge top
  • Bar 18 - Breakout pullback buy or long, but odds favor staying below low of yesterday and then entering trading range, so probably not much more up. 3 dojis so tight trading range and sellers at the high of the bar and probably scaling in higher
  • [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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