The Weekly<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/10\/Emini-Weekly-10-percent-Correction-TCL-Overshoot-Wedge-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n\n- This week\u2019s Emini candlestick <\/a>was a consecutive bear bar closing near its low.<\/li>\n\n\n\n
- Last week<\/a>, we said that the odds slightly favor the market to trade at least a little lower and for the third leg down forming the wedge pattern. Traders will see if the bears can get a strong bear bar trading far below the October 3 low, or will the market trades slightly lower, but closes with a long tail or a bull body.<\/li>\n\n\n\n
- This week, the bears got follow-through selling closing far from the October 3 low.<\/li>\n\n\n\n
- They got another leg down forming the wedge pattern (Aug 18, Oct 3, and Oct 27). <\/li>\n\n\n\n
- They want a strong breakout below the bull trend line with follow-through selling.<\/li>\n\n\n\n
- If they continue to get a couple of consecutive bear bars closing near their lows, it will increase the odds of the reversal down from a lower high major trend reversal becoming successful.<\/li>\n\n\n\n
- The next target for the bears is the 200-week moving average. It is close enough to be tested soon.<\/li>\n\n\n\n
- The sell-off in 2022 ended after a test of the 200-week moving average.<\/li>\n\n\n\n
- The bulls see the move down (from July 27) as a deep pullback of the move whole move up which started in October 2022.<\/li>\n\n\n\n
- They want a reversal from a wedge bull flag (Aug 18, Oct 3, and Oct 27) and a trend channel line overshoot.<\/li>\n\n\n\n
- The problem with the bull\u2019s case is that the move down is quite strong, with stronger bear bars and the bull bars not getting sustained follow-through buying.<\/li>\n\n\n\n
- The bulls will need a strong reversal bar or a micro double bottom before they would be willing to buy aggressively.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bear bar closing near its low, it is a sell signal bar for next week.<\/li>\n\n\n\n
- The market may gap down on Monday. Small gaps usually close early.<\/li>\n\n\n\n
- Odds continue to slightly favor the market to trade at least a little lower.<\/li>\n\n\n\n
- Traders will see if the bears can get another strong bear bar, or will the market trades slightly lower, but closes with a long tail or a bull body.<\/li>\n\n\n\n
- While the market may still trade sideways to down for a couple more weeks, the bull trend remains intact; higher highs, higher lows.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/10\/Emini-Daily-3rd-Leg-Down-Wedge-TCL-Overshoot-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n\n- The Emini traded slightly higher earlier in the week but sold off from Wednesday into Friday, forming 3 consecutive bear bars.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to trade at least a little lower. Traders will see if the bears can create sustained follow-through selling or will the market trade slightly lower but stall not far away from the October 3 low area.<\/li>\n\n\n\n
- This week formed the third leg down since the July 27 high. <\/li>\n\n\n\n
- The bears want a strong breakout below the bull trend line with sustained follow-through selling. So far, they got what they wanted.<\/li>\n\n\n\n
- The move down is in a strong bear channel with stronger bear bars. Odds favor at least a small second leg sideways to down after a larger pullback.<\/li>\n\n\n\n
- However, it has also lasted a long time and is slightly climactic. A small pullback can begin within 1-3 weeks.<\/li>\n\n\n\n
- If there is a larger pullback (lasting at least a few weeks), the bears want a larger second leg sideways to down to retest the current leg extreme low (now Oct 27).<\/li>\n\n\n\n
- The bulls want a reversal from a wedge bull flag (Aug 18, Oct 3, and Oct 27) and a trend channel line overshoot.<\/li>\n\n\n\n
- They see the current move down as a deep pullback of the whole rally which started in October 2022 low.<\/li>\n\n\n\n
- They hope to get a retest of the July 27 high and a strong breakout above.<\/li>\n\n\n\n
- The bulls will need at least a strong reversal bar or a small double bottom before they would be willing to buy aggressively.<\/li>\n\n\n\n
- Since Friday was a bear bar closing in its lower half, it is a sell signal bar for Monday.<\/li>\n\n\n\n
- Odds slightly favor the market to trade at least a little lower.<\/li>\n\n\n\n
- Traders will see if the bears can create sustained follow-through selling or will the market trade lower but stall and form a climaxing reversal or a micro double bottom.<\/li>\n\n\n\n
- For now, while the market may still trade sideways to down, the bull trend remains intact. <\/li>\n<\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Al Brooks and other presenters talk about the detailed Emini price action real-time each day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/10\/Emini-Weekly-10-percent-Correction-TCL-Overshoot-Wedge.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n- \n
- This week\u2019s Emini candlestick <\/a>was a consecutive bear bar closing near its low.<\/li>\n\n\n\n
- Last week<\/a>, we said that the odds slightly favor the market to trade at least a little lower and for the third leg down forming the wedge pattern. Traders will see if the bears can get a strong bear bar trading far below the October 3 low, or will the market trades slightly lower, but closes with a long tail or a bull body.<\/li>\n\n\n\n
- This week, the bears got follow-through selling closing far from the October 3 low.<\/li>\n\n\n\n
- They got another leg down forming the wedge pattern (Aug 18, Oct 3, and Oct 27). <\/li>\n\n\n\n
- They want a strong breakout below the bull trend line with follow-through selling.<\/li>\n\n\n\n
- If they continue to get a couple of consecutive bear bars closing near their lows, it will increase the odds of the reversal down from a lower high major trend reversal becoming successful.<\/li>\n\n\n\n
- The next target for the bears is the 200-week moving average. It is close enough to be tested soon.<\/li>\n\n\n\n
- The sell-off in 2022 ended after a test of the 200-week moving average.<\/li>\n\n\n\n
- The bulls see the move down (from July 27) as a deep pullback of the move whole move up which started in October 2022.<\/li>\n\n\n\n
- They want a reversal from a wedge bull flag (Aug 18, Oct 3, and Oct 27) and a trend channel line overshoot.<\/li>\n\n\n\n
- The problem with the bull\u2019s case is that the move down is quite strong, with stronger bear bars and the bull bars not getting sustained follow-through buying.<\/li>\n\n\n\n
- The bulls will need a strong reversal bar or a micro double bottom before they would be willing to buy aggressively.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bear bar closing near its low, it is a sell signal bar for next week.<\/li>\n\n\n\n
- The market may gap down on Monday. Small gaps usually close early.<\/li>\n\n\n\n
- Odds continue to slightly favor the market to trade at least a little lower.<\/li>\n\n\n\n
- Traders will see if the bears can get another strong bear bar, or will the market trades slightly lower, but closes with a long tail or a bull body.<\/li>\n\n\n\n
- While the market may still trade sideways to down for a couple more weeks, the bull trend remains intact; higher highs, higher lows.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\n- \n
- The Emini traded slightly higher earlier in the week but sold off from Wednesday into Friday, forming 3 consecutive bear bars.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to trade at least a little lower. Traders will see if the bears can create sustained follow-through selling or will the market trade slightly lower but stall not far away from the October 3 low area.<\/li>\n\n\n\n
- This week formed the third leg down since the July 27 high. <\/li>\n\n\n\n
- The bears want a strong breakout below the bull trend line with sustained follow-through selling. So far, they got what they wanted.<\/li>\n\n\n\n
- The move down is in a strong bear channel with stronger bear bars. Odds favor at least a small second leg sideways to down after a larger pullback.<\/li>\n\n\n\n
- However, it has also lasted a long time and is slightly climactic. A small pullback can begin within 1-3 weeks.<\/li>\n\n\n\n
- If there is a larger pullback (lasting at least a few weeks), the bears want a larger second leg sideways to down to retest the current leg extreme low (now Oct 27).<\/li>\n\n\n\n
- The bulls want a reversal from a wedge bull flag (Aug 18, Oct 3, and Oct 27) and a trend channel line overshoot.<\/li>\n\n\n\n
- They see the current move down as a deep pullback of the whole rally which started in October 2022 low.<\/li>\n\n\n\n
- They hope to get a retest of the July 27 high and a strong breakout above.<\/li>\n\n\n\n
- The bulls will need at least a strong reversal bar or a small double bottom before they would be willing to buy aggressively.<\/li>\n\n\n\n
- Since Friday was a bear bar closing in its lower half, it is a sell signal bar for Monday.<\/li>\n\n\n\n
- Odds slightly favor the market to trade at least a little lower.<\/li>\n\n\n\n
- Traders will see if the bears can create sustained follow-through selling or will the market trade lower but stall and form a climaxing reversal or a micro double bottom.<\/li>\n\n\n\n
- For now, while the market may still trade sideways to down, the bull trend remains intact. <\/li>\n<\/ul>\n\n\n\n
Trading room<\/h2>\n\n\n\n
Al Brooks and other presenters talk about the detailed Emini price action real-time each day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
- Last week<\/a>, we said that the odds slightly favor the market to trade at least a little lower and for the third leg down forming the wedge pattern. Traders will see if the bears can get a strong bear bar trading far below the October 3 low, or will the market trades slightly lower, but closes with a long tail or a bull body.<\/li>\n\n\n\n