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![\"Emini](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2018\/05\/Emini-in-Broad-Bear-Channel-at-2700-Big-Round-Number-and-April-high-support.png\" "\\"\\"")
<\/a><\/p>\nHere are several reasonable stop entry setups from yesterday. I sometimes also show limit order entries and entries on the close of bars.<\/p>\n
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EURUSD Forex market double top bear flag and parabolic wedge sell climax<\/h2>\n
The EURUSD daily Forex market broke strongly down from a small double top bear flag. Since the 4 week selloff is climactic, the odds favor a trading range beginning in 2 weeks.<\/p>\n However, there is no bottom yet, and there are magnets below. But, a bottom can come at any time after consecutive sell climaxes to near support. Therefore, if there is a strong bull reversal day within the next week, traders will see it as a buy signal bar. It would be a lower low double bottom with the May 9 low. The bulls would begin to buy. They will buy above strong bull bars and below prior lows. In addition, the bears will switch from selling at the market to selling rallies. Furthermore, they will take profits below prior lows. The result will be a transition into a 2 month trading range.<\/p>\n Because the daily chart is in a sell climax, a strong reversal up can come at any time. If there is a sharp 50 pip rally, the bulls will swing trade, expecting follow-through for at least a day. Until then, they will only scalp for 10 pips.<\/p>\n Since the daily chart is in a sell climax and near support, the bears will be quick to take profits. In addition, the selling has slowed over the past 2 hours. Consequently, day trading bears will sell rallies and scalp for 10 – 30 pips. While the overnight selling might continue all day, it is extreme and more likely to stop. The odds favor a trading range for the next few hours. The Emini rallied in a Trending Trading Range Day. It reversed down strongly at the end of the day.<\/p>\n See the weekly update<\/a> for a discussion of the price action on the weekly candlestick chart and for what to expect going into next week.<\/p>\n Traders can see the end of the day bar-by-bar price action report by signing up<\/a> for free at BrooksPriceAction.com. I talk about the detailed S&P Emini futures price action real-time throughout the day in the BrooksPriceAction.com trading room<\/a>. We offer a 2 day free trial<\/a>.<\/p>\n
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\nThe EURUSD daily Forex chart broke strongly below the May 9 bottom attempt. Yet, the 2 day selloff is climactic. In addition, it is following a parabolic wedge sell climax. Climactic selling usually leads to a trading range. That range will probably last at least a month and be at least 300 pips tall. Furthermore, it will probably begin within a couple of weeks. <\/p>\nOvernight EURUSD Forex trading<\/h3>\n
\nThe EURUSD 5 minute Forex chart fell 90 pips overnight. While it has been in a bear channel for 4 hours, the channel is tight. That reduces the chance of a big rally within the next few hours. Since channels typically evolve into trading ranges, that is what is likely over the next couple of hours.<\/p>\n
\n<\/p>\nSummary of today’s S&P Emini futures price action and what to expect tomorrow<\/h2>\n
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\nThe Emini was in a bull trend today. By going above yesterday’s high, it triggered a buy signal on the daily chart. Also, by going back above the April high, it again triggered a buy signal on the monthly chart. However, the late selloff turned today into a weak entry bar for the bulls and tested both buy signal bar highs. Yet, the odds still favor a move above Monday’s high within a few days. At a minimum, the bulls want a 2nd consecutive bull bar on the weekly chart, which means that they want Friday to close above Monday’s open.
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