Trading Update: Friday March 7, 2025
Emini end of day video review
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S&P Emini market analysis
Emini daily chart
- The daily chart is far from the moving average and will likely have to test back to the moving average price.
- The current selloff from the February 19 high has been good for the Bears; however, it overlaps in what is likely a trading range. This increases the risk of a pullback and a test back to the moving average.
- Yesterday’s formed a bear breakout bar with a tail below it. This made yesterday a weak stop entry sell, increasing the odds of buyers below.
- Today is the final day of the week, and at the moment, this week is a large bear breakout bar with a small tail below it. The bulls want a rally today, which would create a larger tail below this week’s bear breakout bar, damaging its strength.
- Overall, today will likely form a bull bar. If today forms a strong bull close, that would increase the odds of bears buying back shorts above it and the market getting a pullback lasting a couple of legs.
Emini 5-minute chart and what to expect today
- The Emini formed a small gap down and rallied on bar 1. The context on the open was bad for the bears due to the market being at support on the high time frames.
- The bulls are hopeful that today will successfully form a bull trend from the open that will last for the remainder of the day.
- Because the daily chart is far from the moving average, and the risk is big for the bulls, there is an increased risk of today forming a bull reversal bar.
- At the moment, the odds favor a bull trend or a trading range day and not a bear trend day.
- The rally up to bar 4 is strong enough that the odds favor a 2nd leg up, which means that the first reversal down is likely to be minor and lead to buyers below.
Yesterday’s Emini setups
Al created the SP500 Emini chart.
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 Emini.
Summary of today’s S&P Emini price action
Richard created the SP500 Emini chart (Al traveling)
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 Emini price action real-time each day in the BrooksPriceAction.com trading room days. We offer a 2 day free trial.
Charts use Pacific Time
When times are mentioned, it is USA Pacific Time. The Emini 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.
