Brooks Price Action: E-mini S&P

Wednesday, April 23, 2014

Al Brooks provides bar by bar analysis on a five-minute chart of the previous day’s prices action in the E-mini S&P 500.

Wednesday, April 23, 2014

  • Bar 1 - Reversal bar at bottom of 3 day channel, but bear body and tight channel 62 so probably sell above or sellers at the high of the bar and probably scaling in higher. Weak channel so probably buy below or buyers at the low of the bar and probably scaling in lower. Trading range likely. Bears want breakout and test of 60 minute 20 bar exponential moving average and low of the day, especially since yesterday was top of month long trading range and now 6 consecutive days up
  • Bar 2 - Wedge 75 78, micro double bottom, bottom of 3 day channel, but 2 bear bodies, tight channel 62, probably sell above or sellers at the high of the bar and probably scaling in higher
  • Bar 3 - Two legged pullback in a bear move but 3 dojis, bottom of weak channel, probably buy below or buyers at the low of the bar and probably scaling in lower, even tho always in short. Trading range likely since two-sided trading at support.
  • Bar 5 - Two legged pullback in a bull move 2, h4 75 79, possible low of the day, but tight channel so possible sell above or sellers at the high of the bar and probably scaling in higher. Better to wait for a strong bull breakout or second entry buy. No consecutive strong bear bars so probably bear leg in trading range
  • Bar 6 - Breakout pullback sell or short but bottom of weak bear channel so probably buy below or buyers at the low of the bar and probably scaling in lower 4 and around support low of yesterday 60 minute 20 bar exponential moving average. Trading range likely soon
  • Bar 8 - Parabolic wedge 2 4, but tail. Ok swing buy or long but better to wait for a strong bull breakout or second entry buy, especially since targets below = magnets = low of yesterday, 60 minute 20 bar exponential moving average
  • Bar 12 - Double top 6 at md, but 5 consecutive bull bars so low probability. Ok swing sell or short but possible buy below or buyers at the low of the bar and probably scaling in lower. Still below moving average so not high probability buy below or buyers at the low of the bar and probably scaling in lower. Always in long, ok swing
  • Bar 14 - Breakout pullback buy or long but at moving average and not strong leg up. Bear channel lasted 28 bars so probably will need test down soon. Then, possible major trend reversal
  • Bar 16 - Wedge 6 12, double top 3, fail, failure breakout, but 7 bull bodies so not high enough probability unless swing stop and scale in for scalp. Breakout pullback buy or long but top of weak channel so low probability, need swing stop below 14. Trading range pa so buy low sell high and scalp. Better to wait for a strong bull breakout or second entry buy better to wait for a strong bear breakout or second entry sell. Both will scale in since reversals likely, but probably not clear. Now high
  • Bar 21 - Breakout, possible measuring gap, but most breakout up and or down fail, failure on trading range day. Bulls want major trend reversal, but probably have to test 60 minute 20 bar exponential moving average and low of yesterday first. Bulls buying bear bos, bears selling bull bos. Both scaling in and scalping
  • Bar 24 - Higher low major trend reversal, 1b final flag, but still not down to support = 60 minute 20 bar exponential moving average and low of yesterday so possible sell above or sellers at the high of the bar and probably scaling in higher. Swing buy or long but
  • [more Bar-by-Bar Analysis, Daily Webinar and Trading Course info at www.brookspriceaction.com and www.brookstradingcourse.com

    pending chart 2804

    Yesterday turned down from top of month long trading range. 5 consecutive bull days so probably pullback today or tomorrow.

 

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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