Daily Price Action: E-mini S&P 500

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. This is his analysis for Friday, August 15, 2014.

  • Bar 1 - The e-mini gapped up and formed an island bottom on the daily chart, and now will try to test the all time high. The top of the gap is the pink line below and the bottom is high of yesterday = blue line. Last week's high is the green line. On 5 minimum or minutes, fail, failure breakout above bull channel, bear bar, ok swing sell or short for high of the day. Small bar so not strong. Big gap so probably mostly sideways for 10 or more bars
  • Bar 2 - Bear follow through, always in short, stop above 1
  • Bar 4 - Opening reversal at top of gap, but doji, 3 bear bars so low probability. Swing only for low of the day. More likely sell above or sellers at the high of the bar and probably scaling in higher and more sideways
  • Bar 5 - Strong bull bar, more up, but big gap so probably 2nd reversal and sideways soon
  • Bar 8 - Final flag 4, double top 1, possible high of the day but more likely buy below or buyers at the low of the bar and probably scaling in lower, sideways, and breakout mode, bulls and bears scaling in, both swinging
  • Bar 10 - Breakout pullback buy or long, strong bull reversal bar, but top of trading range so low probability and possible sell above or sellers at the high of the bar and probably scaling in higher and wedge top. Always in long, stop below 3 or 10
  • Bar 14 - Wedge but bull bar. Ok swing sell or short since fail, failure bull breakout above bull channel, but higher probability to wait for a breakout for bear breakout
  • Bar 15 - Huge bear trend bar. Always in long, more down. Sell or short for any reason, stop above 15
  • Bar 16 - Follow through, more down
  • Bar 17 - Sell the close, 60 minute 20 bar exponential moving average below
  • Bar 18 - Bottom of channel, 60 minute 20 bar exponential moving average, low of yesterday, sell climax, ok to take partial or full profits. Probably sell above or sellers at the high of the bar and probably scaling in higher and sideways, but probably low of next 10 bars and possible low of the day

 

pending chart 3251

The E-mini's dominant price action feature of the today is the failed island bottom and the lower high major trend reversal on the daily chart. For today's real-time update, see intraday market update. For more on the current S&P500 and emini weekly charts, see weekly market update

 

[more Bar-by-Bar Analysis, Daily Webinar and Trading Course info at www.brookspriceaction.com and www.brookstradingcourse.com]

 

Ed Note: Every day traders can listen to live, streaming squawk box commentary on FUTURESmag.com coming directly from the S&P trading pits in Chicago.

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.

Originally published on BPA Forums. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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