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Emini Bulls Taking Partial Profits

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Trading Update: Wednesday November 13, 2024

Emini end of day video review

Brad Wolff Emini EOD Review

See Rose’s YouTube channel for another End of Day review.

S&P Emini market analysis

Emini daily chart

  • The Emini formed a bear bar yesterday, closing above its midpoint. This is a sign that bulls are beginning to take partial profits due to the risk of getting big.
  • The odds favor a test down to the October 17th low. However, it may take several weeks for that to happen.
  • The rally up to the November high is strong enough that the odds favor a 2nd leg up.
  • While the bears have done a good job, they must do more. Ideally, they need to get a series of bar bars closing below their midpoints.
  • The bears will see the rally from the November low as a buy climax late in a bull trend and hope the market will test down to the November low.
  • The bears must add to the selling pressure to convince bulls to buy back shorts. This would cause more bears to sell with the bulls and increase the odds of a reversal down to the November low.
  • Overall, traders should expect a trading range and the market to go sideways for several days.

Emini 5-minute chart and what to expect today

  • The Emini opened with a  little to no gap at the start of the U.S. Session. This increases the odds that there will be a lot of trading range price action today.
  • Traders should consider not trading for the first 6-12 bars unless they can make quick decisions.
  • There is an 80% chance of a trading range open, which means the odds favor the market, forming either a double top/bottom or a wedge top/bottom.
  • Most traders should wait for the above-mentioned pattern to form and try to catch the opening swing that often begins before the end of the second hour.
  • The most important thing on the open is to be patient and not in a rush. If one is confused and does not have a good feel for what the market is doing, it is better to step aside and wait.
  • The bears formed a two-legged selloff down to yesterday’s bar, which was 45 buy signal bar high.
  • The selloff down to bar 8 looks like a bear leg in what will become a trading range.
  • As of bar 12, the bulls are trying to get a reversal up. They sell the selloff to bar 8 as a potential 2nd leg bear trap. Next, the Bulls want a rally up to the bar 3 high.
  • The bulls need a strong bull breakout with follow-through before the market becomes high probability.

Yesterday’s Emini setups

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

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.

Summary of today’s S&P Emini price action

SP500 Emini 5 Min Chart Sell Climax Then Small Pullback Bull Trend

Al created the SP500 Emini chart.

EURUSD Forex market analysis

EURUSD Forex daily chart

  • The bears formed another bear bar yesterday, closing near its midpoint and below the prior day’s low.
  • The past three days have tails below the bar, which is a warning that the market will probably pull back soon as bears begin to take profits.
  • The market is Always In Short, and at the moment, the bulls do not have a credible buy signal bar.
  • The risk is getting big for the bears. This increases the odds that the market will likely pullback and get closer to the moving average over the next several bar.

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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