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Emini Sideways Going into Thanksgiving

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Trading Update: Tuesday November 26, 2024

S&P Emini market analysis

Emini daily chart

  • Yesterday, the Emini gapped up and formed a bear reversal bar. While this is disappointing for the bears, it is not a strong bear reversal bar for them to sell on a stop below.
  • Thanksgiving is only two days away. This increases that the market is going to going sideways the rest of this week.
  • The bulls are trying to get a rally up to the November high. Next, they want a breakout above it and a measured move-up based on the November range.
  • The bears want the opposite. They want a double top with the November high and a break below the neckline, (November 15th low) followed by a measured move down.

Emini 5-minute chart and what to expect today

  • Because this is Thanksgiving week, there is an increased risk of more sideways trading today and tomorrow.
  • Today will probably have a lot of trading range price action on the open. This means that traders should be patient and not be in a rush to force trades.
  • The first 5 bars of the day have had a lot of trading range price action. The bears are getting good bear reversal bars closing on their lows. This increases the odds of a reversal down to yesterday’s close.
  • A tight trading range is a neutral market. Traders who want higher probability must wait for a clear breakout with follow-through before placing a trade.
  • The bears are hopeful that the bar 5 is a second entry short will lead to an early high of the day. As mentioned above, it will become higher probability once there is a strong breakout with follow-through.

Yesterday’s Emini setups

SP500 Emini 5-Minute Chart Bull Trap and Then Small Pullback Bear Trend

Al created the SP500 Emini charts.

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 Wedge Pullback to EMA Then Bull Channel

Al created the SP500 Emini charts.

Emini end of day video review

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

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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