S&P500 Emini futures<\/h2>\n\n\n\nThe Weekly<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"SP500](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2022\/04\/Emini-Weekly-Pullback-to-50-week-Moving-Average-680x383.png\" "\\"\\"")
<\/a><\/figure>\n\n\n\n- This week\u2019s Emini candlestick was a bear bar with prominent tails above and below. <\/li>
- Last week, we said that odds slightly favor sideways to up after a small pullback. This week was the pullback.<\/li>
- Bears want the Emini to stall around February 2 high and reverse lower from a double top bear flag. They want next week to have another bear body. That would be the consecutive bear bar and represent follow-through selling.<\/li>
- We have said if the bears get strong consecutive bears bars closing near their low, odds will swing in favor of a test of the February low and possibly a breakout below. This remains true.<\/li>
- The bears want a strong break below the February 24 low which is the neckline of the double top bear flag and a measured move down towards 3600 based on the high of the 8-month trading range.<\/li>
- Bulls hope that the move up from March 14 is the start of the reversal to re-test the trend extreme followed by a new high. <\/li>
- We have said that the bulls expect at least a small second leg sideways to up, even if there is a small pullback first in the next 1-2 weeks. This remains true.<\/li>
- So, which is more likely? A pullback and a continuation higher or a double top bear flag and a reversal lower?<\/li>
- The Emini is currently trading around the middle of the 8-month trading range. Lack of clarity is the hallmark of a trading range. Odds are, the current move up is a bull leg within a trading range, and sellers will return as the Emini moves towards the January high.<\/li>
- This week\u2019s candlestick was a bear bar but it has a prominent tail below and it followed a strong rally from March 14. It is not a very strong sell setup for next week. The bears will need at least a micro double top or a strong sell signal bar before they would be willing to sell aggressively.<\/li>
- For now, odds slightly favor sideways to up after the pullback. <\/li>
- However, if the bears get consecutive bears bar closing near their lows, odds will swing in favor of a test of the February low and possibly a breakout below. <\/li><\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"SP500](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2022\/04\/Emini-Daily-Pullback-to-200-Day-Moving-Average-680x383.png\" "\\"\\"")
<\/a><\/figure>\n\n\n\n- The Emini formed the second leg sideways to down and found support at the 200-day moving average this week.<\/li>
- We have been saying that odds favor a second leg sideways to up after a slightly larger pullback that may test the March 3 high. The current move is the pullback, but it did not reach the March 3 high.<\/li>
- The rally from the March 14 low was in a tight bull channel and strong enough for traders to expect at least a 2nd leg sideways to up.<\/li>
- The bulls want the rally from March 14 low to re-test the trend extreme, followed by a breakout to a new all-time high. <\/li>
- They will need to create consecutive bull bars closing near their highs trading far above the March 29 high to convince traders that a re-test of the trend extreme is underway.<\/li>
- The bears want the Emini to stall around the March 29 high and reverse lower from a double top bear flag or a larger double top bear flag with February 2 high. <\/li>
- They then want a strong break below February 24 low and a measured move down to around 3600 based on the height of the 8-month trading range. <\/li>
- The market has been in a trading range for 8 months. The trading range is more likely to continue than a strong breakout from either direction.<\/li>
- The Emini is currently trading around the middle of the 8-month trading range which is neutral.<\/li>
- Odds are the current rally from March 14 is a bull leg in the trading range and we will likely see more sellers emerge as the Emini moves towards the prior trend extreme.<\/li>
- For now, traders are deciding if the pullback is done, or if it has another 3rd<\/sup> sideways to down leg, to test the March 3 high around the 50-day moving average.<\/li>
- If the 3rd<\/sup> leg sideways to down forms but then stalls around the March 3 high, there would be a wedge bull flag pattern. From there, odds are we will see buyers return and the second leg sideways to up to re-test March 29 high.<\/li>
- However, if the bears manage to get strong consecutive bear bars trading far below the March 3 high instead, the odds of a test of February low increases.<\/li><\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Traders can see the end of the day bar-by-bar price action report by signing up<\/a> for free at BrooksPriceAction.com. Al talks about the detailed Emini price action real-time throughout the day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
![\"SP500](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2022\/04\/Emini-Weekly-Pullback-to-50-week-Moving-Average.png\" "\\"\\"")
<\/a><\/figure>\n\n\n\n- This week\u2019s Emini candlestick was a bear bar with prominent tails above and below. <\/li>
- Last week, we said that odds slightly favor sideways to up after a small pullback. This week was the pullback.<\/li>
- Bears want the Emini to stall around February 2 high and reverse lower from a double top bear flag. They want next week to have another bear body. That would be the consecutive bear bar and represent follow-through selling.<\/li>
- We have said if the bears get strong consecutive bears bars closing near their low, odds will swing in favor of a test of the February low and possibly a breakout below. This remains true.<\/li>
- The bears want a strong break below the February 24 low which is the neckline of the double top bear flag and a measured move down towards 3600 based on the high of the 8-month trading range.<\/li>
- Bulls hope that the move up from March 14 is the start of the reversal to re-test the trend extreme followed by a new high. <\/li>
- We have said that the bulls expect at least a small second leg sideways to up, even if there is a small pullback first in the next 1-2 weeks. This remains true.<\/li>
- So, which is more likely? A pullback and a continuation higher or a double top bear flag and a reversal lower?<\/li>
- The Emini is currently trading around the middle of the 8-month trading range. Lack of clarity is the hallmark of a trading range. Odds are, the current move up is a bull leg within a trading range, and sellers will return as the Emini moves towards the January high.<\/li>
- This week\u2019s candlestick was a bear bar but it has a prominent tail below and it followed a strong rally from March 14. It is not a very strong sell setup for next week. The bears will need at least a micro double top or a strong sell signal bar before they would be willing to sell aggressively.<\/li>
- For now, odds slightly favor sideways to up after the pullback. <\/li>
- However, if the bears get consecutive bears bar closing near their lows, odds will swing in favor of a test of the February low and possibly a breakout below. <\/li><\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\n- The Emini formed the second leg sideways to down and found support at the 200-day moving average this week.<\/li>
- We have been saying that odds favor a second leg sideways to up after a slightly larger pullback that may test the March 3 high. The current move is the pullback, but it did not reach the March 3 high.<\/li>
- The rally from the March 14 low was in a tight bull channel and strong enough for traders to expect at least a 2nd leg sideways to up.<\/li>
- The bulls want the rally from March 14 low to re-test the trend extreme, followed by a breakout to a new all-time high. <\/li>
- They will need to create consecutive bull bars closing near their highs trading far above the March 29 high to convince traders that a re-test of the trend extreme is underway.<\/li>
- The bears want the Emini to stall around the March 29 high and reverse lower from a double top bear flag or a larger double top bear flag with February 2 high. <\/li>
- They then want a strong break below February 24 low and a measured move down to around 3600 based on the height of the 8-month trading range. <\/li>
- The market has been in a trading range for 8 months. The trading range is more likely to continue than a strong breakout from either direction.<\/li>
- The Emini is currently trading around the middle of the 8-month trading range which is neutral.<\/li>
- Odds are the current rally from March 14 is a bull leg in the trading range and we will likely see more sellers emerge as the Emini moves towards the prior trend extreme.<\/li>
- For now, traders are deciding if the pullback is done, or if it has another 3rd<\/sup> sideways to down leg, to test the March 3 high around the 50-day moving average.<\/li>
- If the 3rd<\/sup> leg sideways to down forms but then stalls around the March 3 high, there would be a wedge bull flag pattern. From there, odds are we will see buyers return and the second leg sideways to up to re-test March 29 high.<\/li>
- However, if the bears manage to get strong consecutive bear bars trading far below the March 3 high instead, the odds of a test of February low increases.<\/li><\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Traders can see the end of the day bar-by-bar price action report by signing up<\/a> for free at BrooksPriceAction.com. Al talks about the detailed Emini price action real-time throughout the day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
- If the 3rd<\/sup> leg sideways to down forms but then stalls around the March 3 high, there would be a wedge bull flag pattern. From there, odds are we will see buyers return and the second leg sideways to up to re-test March 29 high.<\/li>