{"id":196633,"date":"2023-12-27T06:06:47","date_gmt":"2023-12-27T14:06:47","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=196633"},"modified":"2023-12-27T17:39:23","modified_gmt":"2023-12-28T01:39:23","slug":"emini-sellers-above-december-20th","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/analysis\/emini-sellers-above-december-20th\/","title":{"rendered":"Emini Sellers above December 20th Outside Down Bar"},"content":{"rendered":"\n

Trading Update: Wednesday December 27, 2023<\/h3>\n\n\n\n

S&P Emini pre-open market analysis<\/h2>\n\n\n\n

Emini daily chart<\/h3>\n\n\n\n
\"Emini<\/a><\/figure>\n\n\n\n
    \n
  • The Emini rallied today, testing the high of the December 20th<\/sup> outside down bar. This is an area where there will probably be more sellers at this price level.  <\/li>\n\n\n\n
  • The December 20th<\/sup> outside down bar is strong enough to increase the odds of a second leg down. However, the market is in a bull trend, which increased the odds of a deep pullback above the high of December 20th<\/sup>.<\/li>\n\n\n\n
  • While December 20th<\/sup> is a strong bar for the bears, it is probably not the start of a bear trend. This means that the best the bears can likely expect is the beginning of a trading range.<\/li>\n\n\n\n
  • The market is far from the moving average. This will increase the odds of a test of the moving average soon.<\/li>\n\n\n\n
  • Traders are happy to buy above the moving average in a strong bull trend. Eventually, there will not be enough traders willing to buy above the fair price (moving average). This will cause the market to reach the moving average to find enough buyers.<\/li>\n\n\n\n
  • There is a possible measuring gap from the November 13th<\/sup> high to the November 14th<\/sup> low, which projects up to the March 2022 high. This is a logical next target for the bulls. However, it may have to pull back first because the market is so overbought and far from the moving average.<\/li>\n\n\n\n
  • Overall, traders should assume that the market will probably go sideways over the next several days. The best the bears will probably get is a selloff down to the moving average and more sideways trading.<\/li>\n<\/ul>\n\n\n\n

    Emini 5-minute chart and what to expect today<\/h3>\n\n\n\n
      \n
    • Emini is down 1 point in the overnight Globex session.<\/li>\n\n\n\n
    • The overnight Globex market has gone mostly sideways in a range of less than 10 points.<\/li>\n\n\n\n
    • The bulls recently formed an upside breakout around 8:00 AM EST. They are hopeful that the market will test up to yesterday’s high.<\/li>\n\n\n\n
    • As always, traders should expect a trading range open. This means that traders should consider waiting for 6-12 bars before placing a trade. Unless they are willing to make quick decisions and trade with limit orders.<\/li>\n\n\n\n
    • There is only a 20% chance of a trend from the open.<\/li>\n\n\n\n
    • This is the year’s final week, and traders should be prepared for a small range. The final week of the year is a great time to practice discipline and ensure they are only taking takes with a mathematical edge.<\/li>\n\n\n\n
    • Traders should focus on catching the opening swing that will probably form before the end of the second hour, after the formation of a double top\/bottom or a wedge top\/bottom.<\/li>\n\n\n\n
    • Lastly, here is an Ask Al Brooks Clip that is excellent advice for trading in a trading range. I try to review these clips regularly as they are very helpful. I am adding this clip below as a reminder of the trading range price action that is likely to form going into the final days of the year.<\/li>\n<\/ul>\n\n\n\n
      \n