The Weekly<\/em> S&P 500 Emini chart<\/h3>\n\n\n\n![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/01\/Emini-Weekly-BO-above-Dec-28-Bulls-Need-Follow-through-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- This week\u2019s Emini candlestick <\/a>was a big bull bar closing near its high with a long tail below.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to still be Always In Long. Traders will see if the bull can create a follow-through bull bar and resume the move higher.<\/li>\n\n\n\n
- The market sold off earlier in the week but reversed to break out above the December 28 high. The bulls managed to get good follow-through buying.<\/li>\n\n\n\n
- Previously, the bulls got a strong rally in the form of a 10-bar bull microchannel with bull bars closing near their highs. That means strong bulls.<\/li>\n\n\n\n
- The next target for the bulls is the all-time high. They want a strong breakout into new all-time high territory, hoping that it will lead to many months of sideways to up trading.<\/li>\n\n\n\n
- (Side note: The cash index SPX or the SPY ETF has already traded and closed above their all-time highs).<\/li>\n\n\n\n
- Swing bulls would continue to hold their long position established at lower prices believing any pullback likely to be minor.<\/li>\n\n\n\n
- The bulls need to create another follow-through bull bar following this week\u2019s close above the December 28 high.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy-vacuum test of what they believe to be a 37-month trading range high.<\/li>\n\n\n\n
- They want a reversal from a lower high major trend reversal (with the all-time high) and a large wedge pattern (Feb 2, July 27, and Jan 20). <\/li>\n\n\n\n
- The problem with the bear\u2019s case is that the rally is very strong. The only bear bar in the rally had no follow-through selling.<\/li>\n\n\n\n
- Traders would prefer a second entry (Low 2 sell setup) before they would be willing to sell more aggressively. For this, they would need a good sell signal bar.<\/li>\n\n\n\n
- The bears want the Emini to stall around the December 28 high area or the trend channel line area.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bull bar closing near its high, it is a buy signal bar for next week.<\/li>\n\n\n\n
- The market may gap up next week. Small gaps usually close early. If instead the gap remains open and the market continues to rally, that can be a sign of strength.<\/li>\n\n\n\n
- Traders will see if the bull can create a follow-through bull bar and resume the move higher.<\/li>\n\n\n\n
- For now, odds slightly favor the market to still be Always In Long. <\/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\/2024\/01\/Emini-Daily-Breakout-with-Follow-through-or-Failed-BO-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- The market traded lower earlier in the week but reversed into a bull bar on Wednesday followed by a breakout above the December 28 high on Friday.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to still be Always In Long. Traders will see if the bulls can create sustained follow-through buying above the December 28 high. <\/li>\n\n\n\n
- The bulls got a strong rally (since Oct) with several big gaps that remained open and in a tight bull channel.<\/li>\n\n\n\n
- They hope that the current rally will form a spike and channel which will last for many months after the current pullback. <\/li>\n\n\n\n
- They want the 20-day EMA to act as support and form a reversal from a double bottom bull flag (Jan 5 and Jan 17) or a wedge bull flag (Dec 20, Jan 5 and Jan 17). So far this is the case.<\/li>\n\n\n\n
- They want a resumption of the trend to retest the all-time high followed by a breakout above. (Side note: The cash index SPX or the SPY ETF has already traded and closed above their all-time highs on Friday).<\/li>\n\n\n\n
- The bulls will need to create sustained follow-through buying next week to increase the odds of the bull trend resuming.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy vacuum retest of what they believe to be a 37-month trading range high.<\/li>\n\n\n\n
- They want a reversal down from a lower high major trend reversal (against the all-time high), a large wedge pattern (Feb 2, July 27, and December 28) and a failed breakout above the December 28 high.<\/li>\n\n\n\n
- They hope to get at least a TBTL (Ten Bars, Two Legs) pullback. The minimum requirement has been fulfilled in the recent pullback.<\/li>\n\n\n\n
- If the market trades higher, the bears hope that the Emini will stall around the December 28 high area or below the all-time high.<\/li>\n\n\n\n
- The bears will need to create consecutive bear bars closing near their lows and trading far below the 20-day EMA to increase the odds of a deeper pullback.<\/li>\n\n\n\n
- For now, the buying pressure remains stronger (tight bull channel, small pullback) as compared with the selling pressure (e.g., weaker bear bars with no sustained follow-through selling in the recent sideways to down pullback). <\/li>\n\n\n\n
- Odds slightly favor the market to still be Always In Long.<\/li>\n\n\n\n
- Traders will see if the bulls can create sustained follow-through buying above the December 28 high which will increase the odds of reaching the all-time high.<\/li>\n\n\n\n
- Or will the market trade slightly higher but stall around the December 28 high area?<\/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\/2024\/01\/Emini-Weekly-BO-above-Dec-28-Bulls-Need-Follow-through.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n
- \n
- This week\u2019s Emini candlestick <\/a>was a big bull bar closing near its high with a long tail below.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to still be Always In Long. Traders will see if the bull can create a follow-through bull bar and resume the move higher.<\/li>\n\n\n\n
- The market sold off earlier in the week but reversed to break out above the December 28 high. The bulls managed to get good follow-through buying.<\/li>\n\n\n\n
- Previously, the bulls got a strong rally in the form of a 10-bar bull microchannel with bull bars closing near their highs. That means strong bulls.<\/li>\n\n\n\n
- The next target for the bulls is the all-time high. They want a strong breakout into new all-time high territory, hoping that it will lead to many months of sideways to up trading.<\/li>\n\n\n\n
- (Side note: The cash index SPX or the SPY ETF has already traded and closed above their all-time highs).<\/li>\n\n\n\n
- Swing bulls would continue to hold their long position established at lower prices believing any pullback likely to be minor.<\/li>\n\n\n\n
- The bulls need to create another follow-through bull bar following this week\u2019s close above the December 28 high.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy-vacuum test of what they believe to be a 37-month trading range high.<\/li>\n\n\n\n
- They want a reversal from a lower high major trend reversal (with the all-time high) and a large wedge pattern (Feb 2, July 27, and Jan 20). <\/li>\n\n\n\n
- The problem with the bear\u2019s case is that the rally is very strong. The only bear bar in the rally had no follow-through selling.<\/li>\n\n\n\n
- Traders would prefer a second entry (Low 2 sell setup) before they would be willing to sell more aggressively. For this, they would need a good sell signal bar.<\/li>\n\n\n\n
- The bears want the Emini to stall around the December 28 high area or the trend channel line area.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bull bar closing near its high, it is a buy signal bar for next week.<\/li>\n\n\n\n
- The market may gap up next week. Small gaps usually close early. If instead the gap remains open and the market continues to rally, that can be a sign of strength.<\/li>\n\n\n\n
- Traders will see if the bull can create a follow-through bull bar and resume the move higher.<\/li>\n\n\n\n
- For now, odds slightly favor the market to still be Always In Long. <\/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<\/div>\n\n\n\n- \n
- The market traded lower earlier in the week but reversed into a bull bar on Wednesday followed by a breakout above the December 28 high on Friday.<\/li>\n\n\n\n
- Last week, we said that the odds slightly favor the market to still be Always In Long. Traders will see if the bulls can create sustained follow-through buying above the December 28 high. <\/li>\n\n\n\n
- The bulls got a strong rally (since Oct) with several big gaps that remained open and in a tight bull channel.<\/li>\n\n\n\n
- They hope that the current rally will form a spike and channel which will last for many months after the current pullback. <\/li>\n\n\n\n
- They want the 20-day EMA to act as support and form a reversal from a double bottom bull flag (Jan 5 and Jan 17) or a wedge bull flag (Dec 20, Jan 5 and Jan 17). So far this is the case.<\/li>\n\n\n\n
- They want a resumption of the trend to retest the all-time high followed by a breakout above. (Side note: The cash index SPX or the SPY ETF has already traded and closed above their all-time highs on Friday).<\/li>\n\n\n\n
- The bulls will need to create sustained follow-through buying next week to increase the odds of the bull trend resuming.<\/li>\n\n\n\n
- The bears hope that the strong rally is simply a buy vacuum retest of what they believe to be a 37-month trading range high.<\/li>\n\n\n\n
- They want a reversal down from a lower high major trend reversal (against the all-time high), a large wedge pattern (Feb 2, July 27, and December 28) and a failed breakout above the December 28 high.<\/li>\n\n\n\n
- They hope to get at least a TBTL (Ten Bars, Two Legs) pullback. The minimum requirement has been fulfilled in the recent pullback.<\/li>\n\n\n\n
- If the market trades higher, the bears hope that the Emini will stall around the December 28 high area or below the all-time high.<\/li>\n\n\n\n
- The bears will need to create consecutive bear bars closing near their lows and trading far below the 20-day EMA to increase the odds of a deeper pullback.<\/li>\n\n\n\n
- For now, the buying pressure remains stronger (tight bull channel, small pullback) as compared with the selling pressure (e.g., weaker bear bars with no sustained follow-through selling in the recent sideways to down pullback). <\/li>\n\n\n\n
- Odds slightly favor the market to still be Always In Long.<\/li>\n\n\n\n
- Traders will see if the bulls can create sustained follow-through buying above the December 28 high which will increase the odds of reaching the all-time high.<\/li>\n\n\n\n
- Or will the market trade slightly higher but stall around the December 28 high area?<\/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