Daily Price Action: E-mini S&P 500

May 23, 2016 08:25 AM

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, May 20, 2016.

  • Bar 1 - Gap, bull body, 30% chance trend from the first bar bull, buy the close, but tail and trendline above. 3 bear bars on weekly chart so open of week will be important at end of day
  • Bar 3 - 3 consecutive bull bars, trendline above, buy below or probably buyers at the low of the bar scaling in lower. Fail, failure breakout high of yesterday, tails, possible high of the day but low probability short, probably buyers below, and sideways more likely than down
  • Bar 4 - Breakout pullback buy or long, trendline above, more up, but 3 dojis so possible trading range soon
  • Bar 6 - Breakout pullback buy or long, measuring gap 5, ok swing buy or long. Bars not strong, but 6 consecutive bull bodies, always in long. Possible parabolic wedge top soon
  • Bar 10 - Parabolic wedge 3 5, possible high of the day, but doji, not clear shape, probably sideways to down
  • Bar 11 - Big bear bar, more down. Since not clear parabolic wedge, probably sideways soon
  • Bar 14 - Double bottom 6 but 2 big bear bars, breakout test or bought 3 high for 6 measuring gap, big up, big down probably sellers above or probably sellers at the high of the bar scaling in higher and sideways, but still always in long, ok swing, stop below 4 or 1
  • Bar 16 - Lower high, minor trend reversal so trading range more likely
  • Bar 18 - Possible triangle 7 13, always in long, ok swing buy or long, measured move target(s) above, but tight trading range. Strong enough 11 12 for possible small two legs down to moving average before bulls come back.
  • Bar 24 - Only 4 bear bars in 1st 24 bars. Altho bull bars not strong, the lack of bear bars reduces chances of swing down until more bear bars
  • Bar 27 - Higher high major trend reversal at daily exponential moving average, but small pullback bull, low probability short, probably buyers below, and sideways more likely than down. Probably twenty gap bars bulls at moving average

 

 

For today’s real-time update, see intraday market update. For more on the current S&P 500 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]

About the Author

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.