Trading Update: Wednesday August 13, 2025
E-mini end of day video review
Follow Joseph’s YouTube channel for more Al Brooks price action analysis.
S&P E-mini market analysis
E-mini daily chart
- The E-mini is still in a tight bull channel on the daily chart. The Bulls formed a strong bull breakout above the July high yesterday. However, today is forming weak follow-through and disappointment for the bulls.
- There are probably sellers above the July all-time high.
- The bears are hoping that the current break above the July high is forming a higher high major trend reversal; however, more likely, any reversal we get is going to create a minor reversal and lead to sideways trading.
- The bears will likely need a strong trend line break of the August low rally and the formation of a lower high. This would create a head-and-shoulders top on the daily chart.
- At the moment, the market is Always In Long and is more bullish than bearish.
- The selling pressure down to the August low is strong enough to increase the risk of sellers above the July high in sideways trading. This increases the risk of profit-taking above yesterday’s high.
- Realistically, the bears will probably need to make the market go sideways and form a second entry sell before traders are willing to sell below bars.
- Because the rally up is tight, that lowers the probability for the bears selling below bars.
E-mini 5-minute chart and what to expect today
- The market gapped up and rallied for the first 5 bars of the day, and then formed an opening reversal with bars 6 and 7.
- The odds were against the market forming a bull trend from the open, and the odds favored a test of yesterday’s high.
- The bear has got a sell-off down to the 22 low and a reversal up. While bar 22 is good for the bulls, there’s still an open gap from yesterday’s high to the 22 low. That increases the odds that the gap will close.
- Currently, the market’s gone sideways for the past 15 bars. The market is deciding if the Bears are going to get trend resumption down in a break below the 22 low, or if the Bulls are going to successfully get a trend reversal and test back to the open of the day.
Yesterday’s E-mini setups
Al created the SP500 E-mini charts.
Here are reasonable stop entry setups from yesterday. I show each buy entry bar with a green arrow and each sell entry bar with a red arrow. Buyers of both the Brooks Trading Course and Encyclopedia of Chart Patterns have access to a near 4-year library of more detailed explanations of swing trade setups (see Online Course/BTC Daily Setups). Encyclopedia members get current daily charts added to Encyclopedia.
My 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
Al created the SP500 E-mini charts.
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 Price Action 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.
