E-mini Sellers Likely at 7,600 Major Round Number

Trading Update: Monday June 1, 2026

S&P E-mini market analysis

E-mini daily chart

• The daily chart continues to form a tight bull channel, getting further away from the previous May 14 all-time high.
• The market has been away from the moving average since April 8, which is a long time to be away from the average price.
• With the E-mini daily chart being as climactic as it is, that increases the probability that the market will get a pullback.
• Over the last couple of days, the bulls formed an outside bar on May 28, and so far the follow-through has been fairly weak.
• With the daily chart becoming more climactic at a new all-time high, the odds favor sellers in this general location and a test down to the moving average at a minimum.
• At this point, the risk is getting bigger and bigger for the bulls and the profit potential is small.
• Because of that, the odds favor sellers over the next couple of days and a test down to the previous all-time high from May 14 at a minimum.
• Overall, traders will expect a couple of legs down — a test of the all-time high and a test of the moving average at a minimum.
• Even with the test of the moving average, the odds still favor buyers at the moving average, and this limits the downside potential.
• However, the chances of the market continuing to stay above the moving average for another 10 bars are fairly low.

E-mini 5-minute chart and what to expect today

• Today gapped down at the open and formed a large bull bar with a tail above, which increased the odds of sellers above the bar’s high, possibly at the close of last Friday’s bar.
• The bulls tried to rally up to bar 4 but formed a parabolic wedge, and the bears got a reversal down with bar 5; however, the rally up to bar 4 was in a four-bar micro channel, which lowered the probability of bear selling.
• The consecutive bear bars 5 and 6 were likely to get a second leg down and increased the odds of sellers above.
• The market went sideways for the first 21 bars, which increased the probability that today would have a lot of trading range price action.
• The bulls managed to get a strong breakout at bars 25 and 26; however, it was a bull breakout inside an overall trading range, which increased the probability that there would be a deep pullback.
• The market pulled back to below the bar 25 bottom of the bull breakout during bar 34, and the bulls who bought the close at bar 26 had to suffer a 100% drawdown based on the breakout at bar 25 and the follow-through at bar 26.
• This increased the probability that those bulls would be interested in selling out of longs on the test after the bar 39 high.
• As of bar 39, the market formed a parabolic wedge with the bar 34 low and the bar 39 high.
• The bears are hopeful that this is forming a double top and that the market will break below the bar 39 high and tap back down to the bar 34 low.
• Because of the reasons mentioned above on the daily chart, the odds are against today forming a strong bull trend.
• This means that there is an increased risk that today will form a trading range and possibly tap back down to the open of the day later today.

Friday’s E-mini setups

Jed created the SP500 E-mini chart.

Here are reasonable stop entry setups from Friday. 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.

E-mini end of day video review

Periodic end of day review videos will be moved to top of page when done.

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

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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.

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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.

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