Trading Update: Tuesday July 8, 2025
Emini end of day video review
S&P Emini market analysis
Emini daily chart
- The daily chart of the Emini formed a 9-bar bull microchannel up to last Friday’s high (July 3rd).
- This is a low probability event and increases the odds that the first reversal down will be minor and lead to a new high above last Friday.
- Yesterday formed a bear reversal bar closing below last Friday’s low. However, the Bears failed to get a strong bear close.
- This increases the odds of bad follow-through selling and today forming a disappointment bar for the bears.
- The daily chart is far from the moving average, which is a reflection of the fair price. This increases the odds of the bull taking profits soon and the market testing closer to the average price over the next several days.
- However, as I mentioned above, the bulls may have to get a new high above July 3rd, because of the 9-bar bull microchannel.
Emini 5-minute chart and what to expect today
- The Emini formed a small gap up on the open and has had a lot of trading range price action over the first 18 bars of the day.
- This increases the odds that the rest of the day will have a lot of trading range price action.
- Traders should be cautious of breakouts in this kind of environment. This is because they often get deep pullbacks before the second leg resumes.
- Today has an increased risk of bad follow-through selling on the daily chart. This means that today will probably have limited downside selling pressure.
- As of bar 18, the market will probably test back to the open of the day over the next several bars.
Yesterday’s Emini setups
Brad created the SP500 Emini charts – Al travelling.
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
Brad created the SP500 Emini charts – 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.
