Trading Update: Friday March 28, 2025
Emini end of day video review
S&P Emini market analysis
Emini daily chart
- Yesterday formed a doji bar after Wednesday’s reversal down. This makes yesterday a bad high 1 buy signal bar, which increases the odds of sellers above and a 2nd leg down.
- The bears are hopeful that March 25th is a 2nd leg bull trap that will lead to a reversal back down to the March low. While this is possible, the rally up to March 25th has several bull bars following the selloff down to the September low. This increases the odds of buyers below and a test back to 5,800.
- The bulls are likely disappointed with the past two trading days. This will increase the odds of a March rally leading to an overall sideways market and reduce the odds of the bulls achieving a strong breakout above the 6,000 round number.
- Overall, the odds favor sellers above yesterday’s high and at least an attempt at a small 2nd leg down.
Emini 5-minute chart and what to expect today
- The overnight Globex market formed a downside breakout during the early morning hours. The bulls are hopeful that the recent selloff around 8:45 AM EST will lead to a double bottom with the lows of 4:15 AM EST. Next, they want a rally back up to the Globex high. More likely, the market will go lower.
- The bears want today to close on its low, which would create a Low 1 sell signal bar closing on its low.
- Traders should expect today to have a lot of trading range price action on the open. This means that most traders should consider not trading for the first 6-12 bars unless they can make quick decisions, since most breakouts fail.
- Most traders should try to catch the opening swing, which typically begins before the end of the 2nd hour after the formation of a double top/bottom, or a wedge top/bottom.
Yesterday’s Emini setups
Al created the SP500 Emini 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 Emini.
Summary of today’s S&P Emini price action
Al created the SP500 Emini 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 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.
