Trading Update: Tuesday February 20, 2024
S&P Emini pre-open market analysis
Emini daily chart
- Last week, the Emini sold off to the daily moving average and found buyers, likely due to the market being in a tight bull channel.
- The market is likely going to transition into a trading range soon and go sideways for several bars.
- The bears need to get close below the moving average for traders to conclude that the selling pressure is strong enough for lower prices.
- Even if the bears can get close below the moving average, the market will likely continue sideways.
- Overall, this means that the daily chart will likely continue to go sideways in around the 5,000 big round number for several weeks.
Emini 5-minute chart and what to expect today
- Emini is down 15 points in the overnight Globex session.
- The Globex market has been in a bear channel for more of the overnight session. The market is in a tight trading range now, increasing the odds of sideways trading.
- As always, traders should assume that today will have a lot of trading range price action on the open. Most traders should wait 6-12 bars before placing a trade.
- Overall, today will probably have a lot of trading range price action. This means that traders should be patient and not force trades. When in doubt, wait for a strong breakout with follow-through.
Yesterday’s Emini setups
Al created the SP500 Emini charts.
EURUSD Forex market trading strategies
EURUSD Forex daily chart
- The Bulls managed to get an upside breakout today and broke above the February 12th major lower high. This will increase the odds that the market is no longer in a bear trend.
- Next, the bulls need to get a close above the moving average and, ideally, several closes above it.
- At the moment, the best the bulls can expect is a trading range until they get more follow-through buying.
Summary of today’s S&P Emini price action
Al created the SP500 Emini charts.
End of day video review
End Of Day Review will be presented in the Trading Room today. See below for details on how to sign up.
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.