E-mini S&P 500 moves sideways in Wednesday price action: Brooks

Brooks Price Action Analysis for Wednesday, Jan. 8

pending chart 2523

Expanding triangle bottom, breakout below double bottom, double bottom

  • Wednesday, January 8, 2014
  • Bar 1 - Big doji, middle of trading range. Wait
  • Bar 2 - Two bar revresal but big bars, middle of trading range so might be sellers at the high of the bar and probably scaling in higher. Better to wait
  • Bar 3 - Dtpb but tail, middle of trading range so low probability sell or short
  • Bar 4 - Big bear bar, more down, but tail and possible fail, failure breakout ly
  • Bar 5 - Expanding triangle 34 56, fail, failure breakout low of yesterday, two legged pullback in a bull move 56, two legged pullback in a bull move 1, but bear body so low probability. Sideways to moving average most likely, but ok swing
  • Bar 6 - Close on high, more sideways to up
  • Bar 7 - Bull follow through, possible low of the day, but sideways more likely until get above 4 or get 4-5 consecutive bull bars
  • Bar 9 - Double top 3 at moving average, two bar revresal, swing sell or short but strong 6 7 8 so sideways more likely and probably buyers at the low of week of the bar and probably scaling in lower
  • Bar 10 - Big outside up bar, breakout above 4, more up
  • Bar 11 - Follow through, more up, but double top 77 so possible high of the day. Stop below 10
  • Bar 13 - Breakout pullback buy or long but 2 dojis, double top 77, so need swing stop below 10. Possible tight trading range or pullback. Wedge 8 12, double top 77, possible high of the day but 2 dojis so low probability sell or short
  • [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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