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![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/10\/ES-20.png\" "\\"\\"")
<\/a><\/p>\nHere are several reasonable stop entry setups from yesterday. I sometimes also show limit order entries and entries on the close of bars.<\/p>\n
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EURUSD Forex market trading strategies<\/h2>\n
Yesterday was a big bear trend bar on the daily chart that closed below the 3 month trading range. That triggered a sell signal. The bears need another bear bar today to confirm the breakout. However, the selloff is also testing the support of the 20 week exponential moving average.<\/p>\n While the odds favor lower prices over the next few weeks, this selling is extreme and at the important support of the 20 week EMA. Therefore, the selling might pause over the next few days. The bulls will try to get a reversal up, and the bears will take partial profits. However, since yesterday was extremely bearish, the odds are that any rally over the next week will more likely be a bear flag than a reversal up from support. The bulls will need at least a micro double bottom and then a strong reversal up before traders will believe that the bear breakout has failed. The odds favor lower prices over the next couple of weeks.<\/p>\n However, today’s close will be important since the bears want a bear body on today’s candlestick. This would increase the chance of lower prices over the next couple of week’s. That means the bears want today to close below the 1.1656 open. Since the bulls want a close above the open to create at least a small bull body, today’s open is an important magnet. Because that is more than 50 pips above the current price and the 2 day selloff has been very strong, the odds favor a bear close. However, the overnight pattern looks like the end of a sell climax. In addition, it is stalling at the 1.1600 big round number. Consequently, the 5 minute chart will probably begin to evolve into a trading range today. The Emini rallied in a small pullback bull trend back above last week’s high. The week in now both an inside down and inside up week. The week opened on its high and the open remained the high until today. Since bars on the weekly chart rarely have a high at the open, the odds favored a new high once Monday’s high was within a few points.<\/p>\n See the weekly update<\/a> for a discussion of the price action on the weekly candlestick chart and for what to expect going into next week.<\/p>\n Traders can see the end of the day bar-by-bar price action report by signing up<\/a> for free at BrooksPriceAction.com. I talk about the detailed S&P Emini futures price action real-time throughout the day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n
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\nThe EURUSD daily Forex chart had a big bear trend day yesterday. It closed below the 3 month trading range. That triggered a head and shoulders top sell signal. The bears want at least a small bear bar today, which would confirm the selloff. That means that it would increase the chance that the breakout will continue down for about a 400 pip measured move. That would test the July 5 low, which is the bottom of the 1st pullback after a strong bull breakout that began on June 27. Pullbacks often test the beginning of the channel. However, there is more important support between 1.1400 and 1.1500, which is the top of the 2 year trading range. <\/p>\nOvernight EURUSD Forex trading<\/h3>\n
\nYesterday’s selloff continued overnight on the 5 minute chart. However, the chart went sideways for many hours and the selloff over the past 2 hours was only 50 pips. In addition, it had consecutive sell climaxes. The odds are that the bulls will try to reverse back up into last night’s tight trading range around 1.1630. <\/p>\n
\n<\/p>\nSummary of today’s S&P Emini futures price action and what to expect tomorrow<\/h2>\n
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\nLast week closed near its open on the weekly chart, and therefore was a doji bar. However, despite extreme buy climaxes, there is no sign of a top. Therefore, the odds still favor at least slightly higher prices. The Emini might go sideways early next week into Wednesday’s FOMC announcement.
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