Trading Update: Thursday July 2, 2026
S&P E-mini market analysis
E-mini daily chart
- The daily chart of the E-mini continues to trade sideways within a triangle, which is a contracting trading range that has now lasted for many bars.
- The bulls formed consecutive bull bars on June 29th and June 30th, showing that buyers were willing to step in on back-to-back days.
- They then got a doji, which was followed by a small second leg up on July 2nd.
- However, as of right now, July 2nd is reversing back down into the range, which shows that the bulls have not yet been able to break out.
- The bears are hopeful that today will form an outside down bar that closes on its low, and that the market will instead reverse and go in the opposite direction.
- Because of the buying pressure on June 29th and June 30th and the strong rally up to June 15th, the odds are that the bulls will get some kind of second leg up and a test of the June all-time high.
- This means that today will probably have buyers below the market, and that at some point over the next several weeks the market will likely reach the all-time high.
- This means that the downside risk is still likely to be limited for now.
E-mini 5-minute chart and what to expect today
- Today gapped up on the open and rallied up to bar 5, but it formed a parabolic wedge top and a double top with bar 5 and bar 9.
- The bears got a sharp reversal down on bars 11 and 12. That was a strong enough bear breakout and follow-through that the odds favored a second leg down, and the bears ended up forming a small pullback bear trend all the way down to bar 54.
- As of bar 54, the market was testing below the 7,500 round number and was getting a lot of buying pressure on the way down. This increased the odds that bar 55 would lead to a low, and the bulls got an upside breakout on bar 56.
- Because of the previous buying pressure around bar 25, there is added risk that the market may have to test back up to the bar 25 high over the next several bars.
- At the moment, because bars 55 and 56 were strong, the odds favor buyers below and a second leg up.
Yesterday’s E-mini setups
Jed created the SP500 E-mini chart.
Here are reasonable stop entry setups from yesterday. Chart shows each buy entry bar with a green arrow and each sell entry bar with a red arrow. Buyers of the Brooks Trading Course have access to a near 4-year library of detailed explanations of swing trade setups (see Online Course/BTC Daily Setups) linked to the Brooks Encyclopedia of Chart Patterns product.
The 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
Jed created the SP500 E-mini chart.
E-mini end of day video review
Periodic end of day review videos will be moved to top of page when done.
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 Trading Course 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.
