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Emini Strong Bear Breakout

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Trading Update: Friday April 4, 2025

Emini end of day video review

Emini EOD Review Joseph Imbornone

Follow Joseph’s YouTube channel for more Al Brooks price action analysis.

S&P Emini market analysis

Emini daily chart

  • The Emini gapped down yesterday and closed on its low. This was a strong bear breakout, increasing the risk of lower prices. While the risk is significant for the bears, there are trapped bulls, which increases the risk that bulls will take profits to reduce their downside risk.
  • At the time of writing this, today is already down 4% as well. This increases the risk of a bounce later today as bears take partial profits.
  • The 5,000 big round number is currently only 200 points away, which increases the odds that the market will reach it over the next couple of weeks.
  • The selling over the past couple of days is enough of a surprise that the odds will favor a 2nd leg down.

Emini 5-minute chart and what to expect today

  • The Emini gapped down and has formed a bear trend from the open down to bar 15.
  • The selling is very strong and will likely limit the upside over the next several bars.
  • The higher time frames are getting climactic, and the risk is significant for the bears. This increases the risk of a potential reversal later in the day. While this is possible, a trading range or a bear trend is more likely than a strong bull trend.
  • Bar 16 is the largest bear breakout bar in the selloff. This increases the risk of profit taking and sideways trading for a couple of bars.
  • Today is Friday, which means the weekly chart is important. The bulls are hopeful that today will form a strong reversal up and create a tail on the bottom of the weekly chart. The bears want the opposite, for the week to close at its low.
  • Bar 17 is a strong bull reversal in a climactic market. This increases the odds of a reversal up and test of the open of the day.

Yesterday’s Emini setups

End Of Day Review will be presented in the Trading Room today. See below for details on how to sign up.

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

SP500 Emini 5-Min Chart Big Gap Down Then Broad Bear Channel

Richard created the SP500 Emini chart – Al travelling.

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 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 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.

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