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Emini Consecutive Inside Bars on Daily Chart

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Trading Update: Tuesday April 9, 2024

S&P Emini pre-open market analysis

Emini daily chart

  • The Emini formed an inside bar yesterday, the consecutive inside bar on the daily chart.
  • Consecutive Inside bars is a triangle on a smaller time frame, meaning it is in breakout mode.
  • The market is deciding if last Thursday’s bear breakout will get a second leg down or if it is a bear trap.
  • At the moment, the odds favor a second leg down, but the pullback could be deep since the daily chart is in a trading range.

Emini 5-minute chart and what to expect today

  • The Globex market rallied during the overnight hours and failed to break out above yesterday’s high. Causing the market to reverse back down.
  • As the bears will try to get a failed breakout above yesterday’s high and a bear trend day. This means that yesterday’s high is a likely magnet on the open.
  • Traders should assume that the open will have a lot of trading range price action and consider waiting for a clear top or bottom, such as a double top/bottom, or a wedge top/bottom.
  • They can also consider waiting for a clear breakout, with follow-through before placing a trade.

Yesterday’s Emini setups

SP500 Emini 5-Min Chart Trading Range Day Broad Then Tight Trading Range

Richard created the SP500 Emini chart (Al travelling).

Here are reasonable stop entry setups from yesterday. I show each buy entry bar with a green arrow and each sell entry bar with a red arrow. Buyers of both the Brooks Trading Course and Encyclopedia of Chart Patterns have access to a near 4-year library of more detailed explanations of swing trade setups (see Online Course/BTC Daily Setups). Encyclopedia members get current daily charts added to Encyclopedia.

My goal with these charts is to present an Always In perspective. If a trader was trying to be Always In or nearly Always In a position all day, and he was not currently in the market, these entries would be logical times for him to enter. These therefore are swing entries.

It is important to understand that most swing setups do not lead to swing trades. As soon as traders are disappointed, many exit. Those who exit prefer to get out with a small profit (scalp), but often have to exit with a small loss.

If the risk is too big for your account, you should wait for trades with less risk or trade an alternative market like the Micro Emini.

EURUSD Forex market trading strategies

EURUSD Forex daily chart

  • The EURUSD formed a strong entry bar yesterday’s High1 buy signal bar.
  • This will increase the odds of traders buying above yesterday’s high for a second leg up.
  • The bears are hopeful that the bull will fail to break above the April 4th high and create a micro-double top. However, there are 5 consecutive bull bars, which is a sign of strength by the bulls.
  • Overall, the bears need a strong reversal bar today to convince bears to sell below bars. Even if they do, the odds favor buyers not far below and higher prices.

Summary of today’s S&P Emini price action

SP500 Emini 5-Min Chart Bear Trend From Open and Then Reversal Up

Al created the SP500 Emini chart.

See the weekly update for a discussion of the price action on the weekly chart and for what to expect going into next week.

Trading Room

Al Brooks and other presenters talk about the detailed Emini price action real-time each day in the BrooksPriceAction.com trading room days. We offer a 2 day free trial.

Charts use Pacific Time

When times are mentioned, it is USA Pacific Time. The Emini day session charts begin at 6:30 am PT and end at 1:15 pm PT which is 15 minutes after the NYSE closes. You can read background information on the market reports on the Market Update page.

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