The Weekly<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Emini-Weekly-Embedded-Wedge-Outside-Doji-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- This week\u2019s Emini candlestick <\/a>was an outside bear doji with long tails above and below the candlestick.<\/li>\n\n\n\n
- Last week<\/a>, we said that the market continues to be Always In Long and odds slightly favor the market to trade at least a little higher.<\/li>\n\n\n\n
- This week made a new high but reversed to close below last week\u2019s high.<\/li>\n\n\n\n
- The bulls have a tight bull channel. That means strong bulls.<\/li>\n\n\n\n
- They want a strong breakout into all-time high territory, hoping that it will lead to many months of sideways to up trading after a pullback.<\/li>\n\n\n\n
- They will need to continue to create sustained follow-through buying above the prior all-time high.<\/li>\n\n\n\n
- We may also see some profit-taking activity once the market starts to stall. <\/li>\n\n\n\n
- If a pullback begins, the bulls want it to be sideways and shallow, filled with bull bars, doji(s) and overlapping candlesticks.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy-vacuum test of the prior all-time high.<\/li>\n\n\n\n
- They want a reversal from a higher high major trend reversal and a large wedge pattern (Feb 2, July 27, and Mar 8). They want a failed breakout above the all-time high and the trend channel line.<\/li>\n\n\n\n
- They also see a parabolic wedge in the third leg up since October (Dec 28, Jan 30, and Mar 8) and an embedded wedge (Jan 30, Feb 12, and Mar 8).<\/li>\n\n\n\n
- They hope to get a TBTL (Ten Bars, Two Legs) pullback of at least 5-to-10%. They want at least a test of the 20-week EMA.<\/li>\n\n\n\n
- The problem with the bear\u2019s case is that the rally is very strong. They will need to create a few strong bear bars to indicate that they are at least temporarily back in control.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is an outside bear doji, it is not a strong signal bar for next week.<\/li>\n\n\n\n
- The candlestick after an outside bar sometimes is an inside bar, forming an ioi (inside-outside-inside) breakout mode pattern. <\/li>\n\n\n\n
- Otherwise, it could have a lot of overlapping range with the outside bar.<\/li>\n\n\n\n
- The market continues to be Always In Long.<\/li>\n\n\n\n
- However, the rally has lasted a long time and is slightly climactic. Traders are looking for signs of profit taking but there are none still. <\/li>\n\n\n\n
- Until the bears can create strong bear bars, traders will not be willing to sell aggressively.<\/li>\n\n\n\n
- Sometimes, a euphoric market (as it is now) can continue higher into a blow-off top (parabolic climax). <\/li>\n\n\n\n
- Side note: There are signs of a blow-off top in the stocks of the leaders of the rally such as Nvidia and Meta.<\/li>\n\n\n\n
- Traders will see if the bulls continue to create more follow-through buying or will the bears start to create some decent bear bars soon.<\/li>\n\n\n\n
- Once the market starts to stall and traders are convinced that the profit-taking phase has begun, the selling can be strong and last at least a few weeks.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Emini-Daily-Parabolic-Wedge-Embedded-Wedge-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- The market broke into new all-time high territory on Monday and Friday. However, Friday reversed into an outside bear reversal bar closing near its low.<\/li>\n\n\n\n
- Previously<\/a>, we said that odds slightly favor the market to still be Always In Long. While there are no signs of strong selling pressure yet, traders should be prepared for a minor pullback which can begin within a few weeks.<\/li>\n\n\n\n
- The bulls got a tight bull channel breaking above the prior all-time high (Jan 2022).<\/li>\n\n\n\n
- They hope that the current rally will form a spike and channel which will last for many months after a deeper pullback.<\/li>\n\n\n\n
- They got another leg up completing the wedge with the first two legs being the January 30 and February 12 highs. <\/li>\n\n\n\n
- The third leg up (since Feb 21 low) consists of 3 pushes (Feb 2, March 4, and March 8) therefore an embedded wedge. The risk of a profit-taking event is elevated.<\/li>\n\n\n\n
- If there is a deeper pullback, the bulls want at least a small sideways to up leg to retest the current trend extreme high (now March 8).<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy vacuum retest of the prior all-time high.<\/li>\n\n\n\n
- They want a reversal down from a higher high major trend reversal, a large wedge pattern (Feb 2, July 27, and Mar 8) and a parabolic wedge (Dec 28, Feb 12, and Mar 8).<\/li>\n\n\n\n
- They also see an embedded wedge in the current leg up (Feb 2, March 4, and March 8).<\/li>\n\n\n\n
- The bears will need to create consecutive bear bars closing near their lows and trading far below the 20-day EMA and the bear trend line to indicate that they are at least temporarily back in control.<\/li>\n\n\n\n
- Since Friday was a reversal bar closing near its low, it is a sell signal bar for Monday. <\/li>\n\n\n\n
- If the bears can create sustained follow-through selling trading below the 20-day EMA, it may lead to the start of the pullback phase.<\/li>\n\n\n\n
- For now, the market is still Always In Long. However, the rally has lasted a long time and is slightly climactic. <\/li>\n\n\n\n
- While there are no signs of strong selling pressure yet, traders should be prepared for a minor pullback which can begin at any moment.<\/li>\n\n\n\n
- Traders will see if the bulls can continue to create sustained follow-through buying above the all-time high.<\/li>\n\n\n\n
- Or will the market begin the profit-taking phase soon?<\/li>\n<\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Al Brooks and other presenters talk about the detailed Emini price action real-time each 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
![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Emini-Weekly-Embedded-Wedge-Outside-Doji.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n
- \n
- This week\u2019s Emini candlestick <\/a>was an outside bear doji with long tails above and below the candlestick.<\/li>\n\n\n\n
- Last week<\/a>, we said that the market continues to be Always In Long and odds slightly favor the market to trade at least a little higher.<\/li>\n\n\n\n
- This week made a new high but reversed to close below last week\u2019s high.<\/li>\n\n\n\n
- The bulls have a tight bull channel. That means strong bulls.<\/li>\n\n\n\n
- They want a strong breakout into all-time high territory, hoping that it will lead to many months of sideways to up trading after a pullback.<\/li>\n\n\n\n
- They will need to continue to create sustained follow-through buying above the prior all-time high.<\/li>\n\n\n\n
- We may also see some profit-taking activity once the market starts to stall. <\/li>\n\n\n\n
- If a pullback begins, the bulls want it to be sideways and shallow, filled with bull bars, doji(s) and overlapping candlesticks.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy-vacuum test of the prior all-time high.<\/li>\n\n\n\n
- They want a reversal from a higher high major trend reversal and a large wedge pattern (Feb 2, July 27, and Mar 8). They want a failed breakout above the all-time high and the trend channel line.<\/li>\n\n\n\n
- They also see a parabolic wedge in the third leg up since October (Dec 28, Jan 30, and Mar 8) and an embedded wedge (Jan 30, Feb 12, and Mar 8).<\/li>\n\n\n\n
- They hope to get a TBTL (Ten Bars, Two Legs) pullback of at least 5-to-10%. They want at least a test of the 20-week EMA.<\/li>\n\n\n\n
- The problem with the bear\u2019s case is that the rally is very strong. They will need to create a few strong bear bars to indicate that they are at least temporarily back in control.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is an outside bear doji, it is not a strong signal bar for next week.<\/li>\n\n\n\n
- The candlestick after an outside bar sometimes is an inside bar, forming an ioi (inside-outside-inside) breakout mode pattern. <\/li>\n\n\n\n
- Otherwise, it could have a lot of overlapping range with the outside bar.<\/li>\n\n\n\n
- The market continues to be Always In Long.<\/li>\n\n\n\n
- However, the rally has lasted a long time and is slightly climactic. Traders are looking for signs of profit taking but there are none still. <\/li>\n\n\n\n
- Until the bears can create strong bear bars, traders will not be willing to sell aggressively.<\/li>\n\n\n\n
- Sometimes, a euphoric market (as it is now) can continue higher into a blow-off top (parabolic climax). <\/li>\n\n\n\n
- Side note: There are signs of a blow-off top in the stocks of the leaders of the rally such as Nvidia and Meta.<\/li>\n\n\n\n
- Traders will see if the bulls continue to create more follow-through buying or will the bears start to create some decent bear bars soon.<\/li>\n\n\n\n
- Once the market starts to stall and traders are convinced that the profit-taking phase has begun, the selling can be strong and last at least a few weeks.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n- \n
- The market broke into new all-time high territory on Monday and Friday. However, Friday reversed into an outside bear reversal bar closing near its low.<\/li>\n\n\n\n
- Previously<\/a>, we said that odds slightly favor the market to still be Always In Long. While there are no signs of strong selling pressure yet, traders should be prepared for a minor pullback which can begin within a few weeks.<\/li>\n\n\n\n
- The bulls got a tight bull channel breaking above the prior all-time high (Jan 2022).<\/li>\n\n\n\n
- They hope that the current rally will form a spike and channel which will last for many months after a deeper pullback.<\/li>\n\n\n\n
- They got another leg up completing the wedge with the first two legs being the January 30 and February 12 highs. <\/li>\n\n\n\n
- The third leg up (since Feb 21 low) consists of 3 pushes (Feb 2, March 4, and March 8) therefore an embedded wedge. The risk of a profit-taking event is elevated.<\/li>\n\n\n\n
- If there is a deeper pullback, the bulls want at least a small sideways to up leg to retest the current trend extreme high (now March 8).<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy vacuum retest of the prior all-time high.<\/li>\n\n\n\n
- They want a reversal down from a higher high major trend reversal, a large wedge pattern (Feb 2, July 27, and Mar 8) and a parabolic wedge (Dec 28, Feb 12, and Mar 8).<\/li>\n\n\n\n
- They also see an embedded wedge in the current leg up (Feb 2, March 4, and March 8).<\/li>\n\n\n\n
- The bears will need to create consecutive bear bars closing near their lows and trading far below the 20-day EMA and the bear trend line to indicate that they are at least temporarily back in control.<\/li>\n\n\n\n
- Since Friday was a reversal bar closing near its low, it is a sell signal bar for Monday. <\/li>\n\n\n\n
- If the bears can create sustained follow-through selling trading below the 20-day EMA, it may lead to the start of the pullback phase.<\/li>\n\n\n\n
- For now, the market is still Always In Long. However, the rally has lasted a long time and is slightly climactic. <\/li>\n\n\n\n
- While there are no signs of strong selling pressure yet, traders should be prepared for a minor pullback which can begin at any moment.<\/li>\n\n\n\n
- Traders will see if the bulls can continue to create sustained follow-through buying above the all-time high.<\/li>\n\n\n\n
- Or will the market begin the profit-taking phase soon?<\/li>\n<\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Al Brooks and other presenters talk about the detailed Emini price action real-time each 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
- Last week<\/a>, we said that the market continues to be Always In Long and odds slightly favor the market to trade at least a little higher.<\/li>\n\n\n\n