E-mini Momentum Stalling for Bulls

Trading Update: Friday July 25, 2025

E-mini end of day video review

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S&P E-mini market analysis

E-mini daily chart

• The E-mini yesterday formed a weak bull follow-through bar after Wednesday’s upside breakout.
• This is a reminder that the market is probably evolving into a trading range, and that the bears will probably get a couple of legs down and a test of prior breakout points, as well as the moving average.
• While the bulls have done a good job, the market is at what could be the top of the channel and losing momentum.
• This increases the odds of a pullback lasting a couple of legs sideways to down.
• For the Bears to get a strong reversal down, they need to do more than what they’ve done so far.
• At the moment, the best the bears can expect is likely a test of the moving average and the July 16th low.
• Ideally, the bears need to make the market go sideways for more bars and get closes below the moving average before traders will believe that they are gaining control.
• Overall, the daily chart is likely to continue to go sideways and evolve into a trading range.

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

• The open of the U.S. session is going to get a small gap up on the day.
• As always, there’s an 80% chance of a trading range open and a 20% chance of a trend from the open.
• Most traders should wait for 6-12 bars before placing a trade. This is because it’s common for the market to get opening reversals.
• Since there’s an 80% chance of the trading range open, traders can consider waiting for either a double top or double bottom or wedge top or wedge bottom before placing a trade.
• Most opens get a credible swing trade lasting at least two legs and two hours. Traders should focus on trying to catch the opening swing trade, as it often provides a great risk-reward ratio with a decent probability.
• The most important thing to remember is that traders should be open to anything. No matter how certain you are of something happening, there’s at least a 40% chance of the opposite.
• Because today is Friday, weekly support and resistance are important. Traders should be mindful of the possibility of a strong breakout up or down as traders decide on the close of the weekly chart.

Yesterday’s E-mini setups

Brad created the SP500 E-mini 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 E-mini.

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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 Price Action 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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