Drifting price action highlights Thursday trading: Brooks

Brooks Price Action Analysis of Thursday, Dec. 19

pending chart 2466

Moving average gap bar buy or long, wedge top

  • Thursday, December 19, 2013
  • Bar 1 - Yesterday was huge bull so should test close of yesterday and high of yesterday, but might go sideways first. Small bull reversal bar but not at moving average so probably trap and sellers at the high of the bar and probably scaling in higher. Wait
  • Bar 2 - Doji entry bar, possible tight trading range. Better to wait for better buy or long and not sell or short yet
  • Bar 3 - Two legged pullback in a bull move 1 but tight trading range. Ok swing but better to wait
  • Bar 4 - Lower high second entry sell but at moving average. Better to wait for buy or long setup
  • Bar 5 - Wedge 1 3 at moving average, ok swing buy or long, but bear body, report soon so better to wait. Buy or long setups not yet strong
  • Bar 6 - Wedge 76 1 5 but not big. Tight trading range, bad for scalping with stop entries unless using swing stop. Better to wait
  • Bar 10 - Moving average gap bar buy or long, fail, failure breakout, bull bar, 17t fail, failure 4. Ok swing buy or long for test close of yesterday, but tail, tight channel, trading range pa, so more trading range likely
  • Bar 14 - Double top 7 but 4 bull bars so always in long and buyers at the low of week of the bar and probably scaling in lower
  • Bar 17 - Lower high major trend reversal, fail, failure breakout, micro double top, double top 7 or 1. Probably pullback. Low probability swing sell or short and probably more sideways. Still always in long, stop below 15 or 10, but top of trading range day so low probability
  • Bar 26 - Lower high major trend reversal, two legged pullback in a bear move 16, double top 2, fail, failure breakout, but 2 bull bars, close on high, probably buyers at the low of week of the bar and probably scaling in lower. Still on moving average gap bar buy or long for test close of yesterday and high of yesterday
  • Bar 28 - Breakout pullback buy or long but doji, top of trading range so low probability. Better to buy low of week sell high and scalp
  • [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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