Trading Update: Wednesday April 8, 2026
E-mini end of day video review
S&P E-mini market analysis
E-mini daily chart
- The E-mini gapped up today on the daily chart, which was due to last night’s Globex session getting a strong rally.
- The daily chart managed to break above the daily moving average and the November 2025 low. This was an area of resistance for the past couple of days; however, because the late March rally was strong, the odds favored a second leg up.
- Traders were willing to buy over the past week, confident that they could scale in lower below the 6,400 round number.
- Because today’s gap up is fairly large, the odds are that the market may have to go sideways for a couple of days. Even if the market does go sideways for a few days, the rally above the moving average is strong enough that the odds favor a second leg up in a test of the 6,900 round number.
- Overall, the breakout above the moving average is strong, and therefore the odds favor a second leg up. The bulls are hopeful that there’s enough momentum for the market to reach the all-time high.
E-mini 5-minute chart and what to expect today
- Today created a large gap up on the open with the price far away from the moving average.
- Because the gap up was large, the odds favored a pullback to the moving average. This limited the upside on the open and increased the odds that the market would go sideways to down, which it did to bar 18, testing the moving average.
- Bears are hopeful that the sell-off to bar 18 is a strong enough downside breakout on a higher time frame, which will lead to lower prices.
- The problem with the argument for the bears is that the gap up was strong, and therefore, there will likely be buyers at the moving average. This increases the odds that traders who bought around the open and scaled into the moving average will likely make money.
- As of bar 25, the odds favor a rally and test back to the open of the day. Because the gap up was large, the upside is likely limited, and this means today we’ll probably have a lot of trading range price action for the rest of the day.
- Even if the market closes near the open of the day, the bulls will have achieved a strong breakout compared to yesterday’s close.
- The bears want the opposite. They are hopeful that they can prevent the market from closing on its high, creating a tail on the daily chart, if one includes the Globex.
- Overall, today is likely going to continue to have a lot of trading range price action. Because the context is good for the Bulls, the odds favor a test of the open of the day at some point today.
Yesterday’s E-mini setups
Richard created the SP500 E-mini chart.
Here are reasonable stop entry setups from yesterday. Chart shows each buy entry bar with a green arrow and each sell entry bar with a red arrow. Buyers of the Brooks Trading Course have access to a near 4-year library of detailed explanations of swing trade setups (see Online Course/BTC Daily Setups) linked to the Brooks Encyclopedia of Chart Patterns product.
The 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 E-mini.
Summary of today’s S&P E-mini price action
Richard created the SP500 E-mini 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 E-mini price action real-time each day in the Brooks Trading Course trading room. We offer a 2 day free trial.
Charts use Pacific Time
When times are mentioned, it is USA Pacific Time. The E-mini 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.
mentorship analysis!!
Thanks for the wonderful work Brad , Richard , Andrew and everyone else putting these together , always learning and reinforcing my process through reading your reports .
Have learned lots over the years reading the blogs on here and definitely has improved and shaped my trading . Thank you ~
RTH Daily Analysis — April 8, 2026:
E-mini Bulls Test Bear Major Swing High After Gap Above Moving Average
Brad nailed the second leg call — the late March rally strength he flagged was the reason to expect this push, and today delivered.
Yesterday I mentioned fair value had crept up to 6,660 indicating that bulls were willing to enter long at a premium price — that jump was the early signal that the resistance zone was losing its grip, and today’s move confirmed it.
AIL, sixth consecutive bull day off the 6,400 parabolic wedge. Tight bear channel done. Bulls gapped above both the daily 20 and 60 EMA with almost no selling pressure, closing at 6,820 right at the bear major swing high near 6,800. Weekly HTF microchannel broken. Market cycle reads opposite side BO with a potential test of the bear channel start overhead — two pushes up to a TR as the base case.
Massive surprise bar today — needs FT. Brad’s point about the large gap forcing sideways is the near-term read I agree with most. Price is extended far from the 20 EMA and resistance stacks at 6,820-6,840 where the prior swing high, 60 EMA, previous channel structures, and the 6,800 round number all converge. Bull closed the bear EG but bulls may have created their own potential exhaustion with this gap. A pullback before continuation seems more likely than a straight shot to 6,900.
Fair value jumped sharply higher to around 6,800 and is now confirming the breakout direction. Institutions are transacting at today’s close, not just passing through. But price is getting far above where the market accepts broad value which is currently resting at 6700 — that gap usually resolves with a pullback, which lines up with Brad’s sideways call.
Levels:
6,820-6,840 — Confluent resistance (bear major swing high + 60 EMA + channel structures + 6,800 round)
6,900 — Brad’s second leg target + potential channel start + round number
6,700 — 50% pullback + 3rd touch trend line + fair value + 6,700 round
6,660 — Prior breakout point, now support
6,400 — Parabolic wedge low, round number support
Brad’s 6,900 target and the all-time high argument both got more credible today. The breakout above the moving average is strong enough that buyers should appear on any pullback to 6,700. The question is whether 6,820-6,840 resistance forces the digestion Brad expects or if momentum carries straight through.
Anyone positioning for the pullback to the 6,700 zone, or riding momentum expecting a push through 6,820 resistance?
Hey James , nicely written you have a nice talent for putting these little comments together .
I went to cash this morning after being fortunate enough to catch that gap today vs an overnight hold , I did add back a tiny sized position in the case we just keep going that I bought fresh today but I would rather lose it and work at a 50% pullback .
None the less , I try to just focus on what’s happening vs what I think is happening, when it comes to these moments.
As you no doubt have seen and observed, many of these moves seem like they need a pullback but never get one and the market locks out everyone requiring one to get concentrated .
I like to get in buy buying highs above prior days high and also decent with trend pullbacks and then convert then to multiday holds though ..
Good evening , look forward to the next one .
Hey Alec — appreciate the kind words and thanks for sharing the trade. Catching that gap and going to cash is solid execution, especially in this kind of move.
You’re making a fair point about moves that look like they need a pullback and just never give one. Seven straight bull days and it just kept going through the resistance I was watching at 6820-6840. So I hear you on focusing on what’s happening vs what I think should happen.
Where I land differently is on buying up here. For me entry location is everything — I just can’t chase into resistance, even when the trend is obviously right. The bear major swing high at 6870-6900 has a round number, potential channel start, previous TR midline, and an HTF trend line all stacking in a 30-point zone.
Structurally the move from 6615 to 6815 is starting to look like a developing range for me. If that happens, the PB I’m waiting for shows up at 6700-6725 and I get the entry I want with real support underneath it. If it doesn’t and bulls just rip through 6900, that’s fine — there will always be another setup with better location.
Your approach of buying above prior day’s highs and converting to holds makes sense. I’m just wired to wait for prime confluence and a clear verdict rather than pay up for momentum. Different styles, same market.
Good trading — looking forward to comparing notes as this plays out around 6900.