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Emini Disappointed Bulls near July High

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Trading Update: Friday August 8, 2025

S&P E-mini market analysis

E-mini daily chart

  • The Emini is testing back to near the July high, after last Friday’s trendline break.
  • While the sell-off last Friday was good for the Bears, the reality was that it was a minor reversal. The market spent too many bars above the moving average on the daily chart, which increased the odds that the first reversal below the moving average would lead to a trading range.
  • The Bears need to do more than what they’ve done so far. This means that the bulls who bought the July high and were willing to scale in lower below the moving average were likely to make a profit.
  • If the Bears can continue to make the market go sideways in a trading range, it will increase the chances that they’ll be able to form some kind of major trend reversal.
  • While the Bears are hoping that they’ll be able to form a lower high major trend reversal, the odds are that it won’t be enough bars in the reversal.
  • This means that if the bears do reverse down and test the August low, it’ll probably still be a minor trend line break that will need another test of the highs.
  • Overall, the market’s probably going to be in a trading range for several weeks on the daily chart. The Bears need to do more than what they’ve done so far to get some kind of reversal going.

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

  • The Emini gapped up and formed a bull trend from the open, rallying for the first 10 bars of the day. This is a strong enough rally on the open that the odds favored the first reversal down being minor and the bulls getting a second leg up.
  • The Bears formed a credible reversal bar below 14 that was strong enough for the bulls to exit their longs.
  • While 14 is a credible sell, the rally up from the low of the day is strong, and the market is just under yesterday’s high. This increases the odds that the market will go above the 14 high at some point later today.
  • As of bar 24, the market is entering breakout mode and is deciding whether or not the bulls are going to get a larger second leg up after the rally to the bar 8 high.
  • The Bears need to get close below the moving average if they’re going to convince traders that the market is going lower. Without it, the odds are the Bulls will get trend resumption up in the market, which will test yesterday’s high.
  • Today is Friday, and therefore, weekly support and resistance are important.
  • Traders should be mindful of the possibility of a strong breakout up or down late in the day, as traders decide on the close of the weekly chart.
  • Overall, the market is always in long and the odds favor a second leg up in test of yesterday’s high, unless the Bears can develop more selling pressure.

Yesterday’s E-mini setups

SP500 Emini 5-Min Small Pullback Bear Trend Then Late Reversal

Al created the SP500 E-mini chart.

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.

Summary of today’s S&P E-mini price action

SP500 Emini 5-Min Bull Trend from Open in Trending Trading Range Day

Richard created the SP500 E-mini chart – Al travelling.

E-mini end of day video review

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

EURUSD Forex market analysis

EURUSD Forex daily chart

  • The EURUSD sold off late July and then formed a strong reversal bar on August 1st. The reversal up was strong enough for a second leg, which is what happened two days ago.
  • The Bulls are hoping that they’ll be able to undo the second leg down that began on July 24th and test their high.
  • However, even if the bulls get above the July 24th high, the odds are the market will probably have to test back down to the bottom of the July 30th low.
  • Overall, the EURUSD will probably continue to go sideways in a trading range for the next several bars.

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 Price Action 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.

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