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Emini Bulls Losing Momentum

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Trading Update: Tuesday November 12, 2024

Emini end of day video review

Price Action Rose EOD Review

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S&P Emini market analysis

Emini daily chart

  • Yesterday formed a bear bar closing above its midpoint. This is a further sign that the bulls are losing momentum and that the market will pullback soon.
  • The risk is getting big for the bulls, increasing the odds of a pullback and test of the 6,000-round number.
  • Even though yesterday was a sign of weakness for the bulls, it is not a good stop-entry sell. This means that the market can get a breakout above yesterday’s high and test closer to 6,100.
  • The bears have done a good job by ending the bull streak on the daily chart. Next, the bears need to create bars that close below their midpoints.
  • The market will probably test done to the October 17th high over the next several weeks.

Emini 5-minute chart and what to expect today

  • The Emini formed little to no gap on the open of the U.S. Session. This increases the odds that there will be a lot of trading range price action today.
  • Bar 1 formed a doji bar overlapping several bars going into yesterday’s close. This increases the odds of a lot of trading range price action lasting for several hours on the open.
  • There is an 80% chance of a trading range open and only a 20% chance of a trend from the open up or down. This means most traders should consider waiting for 6-12 bars before placing a trade unless they can make quick decisions.
  • Traders should focus on catching the opening swing that often begins before the end of the second hour. They can wait for the market to form a double top/bottom or a wedge top/bottom and enter on a stop entry.
  • The opening swing is important because it typically lasts two legs and two hours and will often double the opening range.
  • Yesterday’s high is a likely magnet for the bulls. They see yesterday as a pullback and want the market to break above it. More likely, if the market goes above yesterday’s high, bulls will be disappointed.

Yesterday’s Emini setups

SP500 Emini 5-Min Chart Gap Up to Low 2 Then Upper Lower Trading Ranges

Richard created the SP500 Emini charts – 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.

Summary of today’s S&P Emini price action

SP500 Emini 5-Min Chart Bull Trap Tight Bear Channel Then Midday Reversal

Richard created the SP500 Emini charts – Al travelling.

EURUSD Forex market analysis

EURUSD Forex daily chart

EURUSD Daily Chart Testing 2024 Low
  • The EURUSD broke below yesterday’s low and is near the April 2024 low of the year.
  • The market will probably have to fall below it.
  • The bulls are hopeful that today will form a strong bull reversal bar leading to a double bottom with the April 2024 low.
  • If the bulls are going to get a reversal up, they need a credible stop-entry buy to force the bears to buy back shorts. Without it, bears will continue to sell, and the market will go lower.
  • So far, the past three trading days have tails below the bars, including today. This increases the odds that the market will probably get a pullback soon.
  • Overall, the market is so close to the 2024 low that it will likely be unable to escape it.

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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