Stock market price action swings higher, lower: Brooks

Brooks Price Action Analysis of Wednesday, Dec. 4

pending chart 2431

Expanding triangle bottom, expanding triangle top and fail, failure breakout high of yesterday, expanding triangle bottom,

  • Wednesday, December 4, 2013
  • Bar 1 - Expanding triangle bottom 28 58 so lower low major trend reversal but doji so lower probability. Might go outside up bar above high of yesterday, then outside bar surrounded by inside bars tomorrow on daily going into fri report
  • Bar 2 - Outside up bar, always in long, stop below 2
  • Bar 4 - Breakout pullback sell or short but always in long and buyers at the low of week of the bar and probably scaling in lower
  • Bar 6 - Breakout pullback buy or long but tail. Ok swing buy or long for low of the day
  • Bar 7 - Big breakout, more up
  • Bar 8 - Close on high, more up, probably to high of yesterday and 60 minute 20 bar exponential moving average
  • Bar 9 - Close on high, more up but scalp only or buy or long pullback since at resistance high of yesterday, 1800, and 60 minute 20 bar exponential moving average
  • Bar 10 - Two legged pullback in a bear move 4 at 60 minute 20 bar exponential moving average and high of yesterday, but strong bull so buyers at the low of week of the bar and probably scaling in lower. Might enter tight trading range for hours, then trend resumption or trend reversal. Bears will start scaling in above, bulls will start to look to buy or long pullback so sideways likely
  • Bar 11 - Breakout but tail. Probably sellers at the high of the bar and probably scaling in higher and buyers at the low of week of the bar and probably scaling in lower and then trading range for hours, then trend resumption or trend reversal after 10:30
  • Bar 12 - Expanding triangle top and fail, failure breakout high of yesterday, microwedge, consecutive buy climax, buy vacuum, but tight trading range likely so buyers at the low of week of the bar and probably scaling in lower. Better to not sell or short scalp with stops. Tight trading range so buyers at the low of week of the bar and probably scaling in lower sellers at the high of the bar and probably scaling in higher with limit order orders
  • Bar 16 - Bull two inside bars, breakout pullback buy or long, but tight trading range so only buy or long if wide stop and scale in. Support 78 high, resistance trendline above. Should test 1t below 78 high
  • [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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