Trading Update: Wednesday June 10, 2026
S&P E-mini market analysis
E-mini daily chart
- The daily chart has been in a tight bull channel for the past several months.
- Last week’s sell-off on Friday, testing the May 19 low, was likely to find buyers.
- It was a strong enough bear breakout that the odds favored a second leg down, which the bears got yesterday with an outside-down doji bar, and that increases the probability that there will be buyers in the bottom third of the bar.
- While the bears are hopeful that the daily chart sell-off will continue, the reality is that a trading range is more likely, which means the bulls buying around 7,600 and scaling in lower are likely to make money.
- Today is trying to form a Low 1 short; however, because of the overall context and the market being at the bottom of support at the May 19 low, there will likely be buyers below today’s bar.
- Because the channel is tight, the market will likely have to enter a trading range lasting several weeks to months, which means the market could easily reverse back up to 7,600.
E-mini 5-minute chart and what to expect today
- The E-mini gapped down on the open; however, the gap was small, and bar 1 tested below yesterday’s bar 75 low.
- Because of the late rally up to bar 66 yesterday, the odds favored buyers below yesterday’s bar 75 low, which means there were likely buyers below bar 1 today.
- The market formed a bull breakout with bars 2, 3, and 4, which was a strong enough three-bar micro channel that the odds favored a second leg up and a test of yesterday’s bar 79 high.
- The bulls tried to break out to the upside on bar 11, but the market formed a parabolic wedge with bars 4, 9, and 11.
- Bar 13 was a High 1 buy, but it was at the top of the trading range, which increased the risk of a second leg down.
- The bears ended up getting a downside breakout with bars 15 and 16, which increased the odds of a second leg down and a test back to the bar 1 low.
- The bears tried to get a strong breakout below the low of the day on bar 21; however, because the market was forming a parabolic wedge down to the low of the day and was in an overall trading range, the odds favored more sideways trading.
- As of bar 29, the market is forming an expanding triangle at support.
- The bulls are hopeful that this is a 50% pullback from the rally that began at yesterday’s bar 39 low, and that the market will break to the upside and test back to the high of the day.
- The bulls probably need to make the market go sideways for more bars if they are going to get the upside breakout.
- So far, today has had a lot of trading range price action, which increases the risk that today will continue to have a lot of trading range price action.
- Because the daily chart formed a large outside-down doji bar, there is increased risk that there are more buyers around the 7,330 price level, which means there might be more traders buying in this general location rather than selling.
- Overall, there are probably buyers around the 7,330 low willing to scale in lower, which increases the risk of an upside breakout and a test back to the 7,400 round number.
Yesterday’s E-mini setups
Jed 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
Jed 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.
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.
