S&P 500 E mini Broad Horizontal Trading Range after Big Gap Up April 8 2026

Hey everybody, I hope everyone is doing well and had a good day today.

In this video, we're going to review the E- Mini S&P 500 five-minute chart for Wednesday, April 8th, 2026.

On the daily chart going into the day, we had this is the GlobeEx chart.

We have a tight bare channel. You can

count at least three legs down.

And the bears had an attempt to break out below the bare channel line, but they were unable to get any decent follow-through bar.

And on the last day of March, there was a strong bull reversal.

Since the reversal, there really hasn't been much selling pressure through here over the past four or five days. And we

know that channels are more likely to evolve into trading ranges than to break out in the direction of the channel into an even stronger trend. And in this case, the bears had the breakout attempt

below the channel line which failed. And

now the market is testing resistance again. We have the moving average. We

again. We have the moving average. We

have these bars to the left breakout point here. And that's the information

point here. And that's the information going into the day until we look at the morning, the overnight glowback session.

We can see what the market was doing going into the day.

Here's the GlobeEx 15minute chart.

Really strong breakout last last night, last evening.

And the structure is a spike and tight bull channel. I just got finished saying

bull channel. I just got finished saying that channel. So what's more likely to

that channel. So what's more likely to happen here is the bull channel evolves into a trading range. We've got

several tests of the bull channel line.

And if channels evolve into trading ranges, we can come back all the way down here and test the start of the channel where the pullback began. So we

have the initial breakout, the pullback which is the beginning of the channel phase, and the channel which has a trend line like this.

And this channel is more likely to evolve into a trading range. And we can test all the way down here.

This breakout in the glowback session, the spike in channel creates a really big gap going into the day. If you look at the RTH chart,

you can see how far above yesterday the market opened.

It opened almost twice the distance, twice the range of an average daily range. So this distance, it was really

range. So this distance, it was really unlikely that the market would just continue to rally straight from the open.

And you think about where price is relative to the average. And the 20 EMA is one measure of average.

It's so far above that traders are only going to be willing to buy if there's above average bullishness.

And you know the probability favors a test of the moving average at some point today. We can get there by either going

today. We can get there by either going sideways or going down.

Maybe we should look at the Gloex chart back here. This is the

back here. This is the horizontal line I drew on the 15minute chart. So this is the spike pullback

chart. So this is the spike pullback channel.

So going into the day, we're already testing some support here. Markets in a trading range and it's testing support in that trading range.

Bar one, it's an outside bar. Probably

sellers above and buyers below. Two legs

down to support. Bare breakout on two.

Nothing for the stop order bulls to buy.

The bears have a couple of bars going down to support bar two. Not a very good stop order buy, which means there might be more traders selling above bar two.

But the market is at support. So traders

looking to sell might wait for at least one more bar to see if the bears can actually break below the support. And

then three is actually breaking below the support.

Bar three, a bad stop order buy, which means it's a reasonable limit order sell. Probably traders selling above bar

sell. Probably traders selling above bar three. Bar four is a bull breakout bar.

three. Bar four is a bull breakout bar.

Good for the bulls, but the context suggests that we'll probably get a second leg down before testing the highs because now we have a micro channel.

It's a bull breakout bar, but it's testing resistance.

And bar five, a bare breakout bar. Bar

five is a strong enough bar. We know

that traders got trapped. If any trader bought the close of four and in theory, you know, the traders who bought the close of four and even the traders who bought below bar four or below bar

three, they got trapped trapped on the bare breakout five and that increases the probability that we get a second leg down because of those trapped traders.

Bar six testing the breakout point of the bar for low, but probably sellers above six. It's a much smaller bar than

above six. It's a much smaller bar than five. Five is a strong breakout bar.

five. Five is a strong breakout bar.

Like I said, trapping traders and those traders who bought anywhere getting trapped on five might use any small bounce to exit their long positions.

Now, the bulls have a reversal and follow-through on bars six and seven.

Notice that bar 7 is a lot smaller than bar six. It's also testing the midpoint

bar six. It's also testing the midpoint of bar five, which is a It's also testing the midpoint of bar five, which is a six and seven strong

enough reversal and follow through that it may get a small second leg sideways to up. So buyers below seven, they come

to up. So buyers below seven, they come in, bulls get their small second leg, which is from the low of six to the close of seven. That's leg one. Pull

back to the low of eight. And then from the low of eight to the high of nine is leg two.

The bears are still likely to get a second leg down here. So any reversal is likely to be minor. We went sideways for a couple of bars. The bears finally

started to get their second leg down.

Now the bears have a decent sell-off.

It's a micro channel since bar 10. Not

much buying pressure. That's good for the bears. We're probably going at least

the bears. We're probably going at least a little bit lower. Plus, there's the magnet below. This horizontal line down

magnet below. This horizontal line down here is the start of the channel phase on the glowback session that I drew earlier. But one of the problems here is

earlier. But one of the problems here is now we have three legs down and the market's testing the channel line. And

the common theme of the day has been that channels evolve into trading ranges.

So, it's more likely that this bare channel evolves into a trading range.

And it's possible we test all the way back up here.

But so far through here, bar 15, not enough buying pressure. Nothing for stop order traders to buy. So okay to stay short. What about 16? It's still

short. What about 16? It's still

probably too small of a bar. Probably

caused by bears taking profits more than aggressive bulls buying.

And then 18. That's an overshoot of the channel line and it's testing the magnet below. Decent reversal bar. possible

below. Decent reversal bar. possible

that we have a bar 18 reversal, but the bulls have to do more reversal and follow through. Good bar

for the bulls 19, but we're still probably going to pull back here. This

is the first really the first breakout bar for the bulls since bar 4. So, it's

likely that we at least test the high of bar 18, the breakout point down there.

And we could test the channel line again. The breakout point on bar 20, but

again. The breakout point on bar 20, but now bar 20 for the bears is leg four.

After a channel line overshoot, usually after there's a channel line overshoot, the market reverses fairly quickly and then there's a test of the trend line.

So, it's more likely we're going up here than falling for a measured move down.

And the buying on 18 and 19 is evidence that the market is more likely evolving into a trading range than breaking out into a stronger bare trend.

A second reversal 21's a reasonable stop order buy, which means reasonable to exit shorts and go long.

22. It's an okay entry bar for the bulls. It's not climactic. It's a bull

bulls. It's not climactic. It's a bull bar closing on its high and the bears just had an attempt at leg four. So late

in a channel with a magnet above three bar micro channel might pull back here, but it's really not a great stop order sell below 23. There's probably

buyers below and a second leg up is likely.

So 24, that's another attempt at a late leg. Probably probably more traders

leg. Probably probably more traders buying down here than selling.

25 breaking out above the prior bar, but the market's been sideways now for about 10 bars and we're testing resistance.

So, the bears have the argument that it's a tight trading range. It's a limit order market. Traders might sell here

order market. Traders might sell here moving average top of this trading range. The risk is that we have to test

range. The risk is that we have to test higher to the trend line and the bulls get the breakout on 26.

The bulls are approaching the bare trend line. The question is where's the top of

line. The question is where's the top of the trading range?

Bar 26 is a breakout and follow through closing above the past 10 or 12 bars.

And the reason I said the question is where's the top of the trading range is because the market doesn't have to stop here at the trend line.

Remember I mentioned the well there's the market cycle and it's possible this is the breakout pullback channel.

It also could be breakout pullback channel. And I mentioned the traders

channel. And I mentioned the traders buying the close of bar 4 are trapped and disappointed and that becomes resistance. So anywhere up here is

resistance. So anywhere up here is probably resistance 27 a dogee. What about selling in this area? Is it three legs up? One, two,

area? Is it three legs up? One, two,

three. It might be leg three for the bulls.

It's just not It's just that we're not clearly at the top of any trading range.

We might be testing the trend line, the bare trend line in the channel, but I'm not sure if, you know, when I look back to the left, where are we? It

looks like we're about here.

Is this the top of the trading range?

I'm not sure. It doesn't look like it's the top of a trading range.

Also, remember I said back here it was a tight trading range.

Bears have the argument that it's a limit order market and they're selling maybe at resistance here. The traders

selling here get trapped on 26. So I'm

wondering if the market cycle resets here. If 25 and 26 is a reset of the

here. If 25 and 26 is a reset of the market cycle. Basically what I'm saying

market cycle. Basically what I'm saying is I'm wondering if that's leg one.

By the way, I want to mention that when I'm making these reviews, I'm not telling you what I know to be the truth.

I'm really just trying to figure things out just as much as anybody else. And I

just found that talking about a chart, like recording videos of me talking through the day, helps me understand it better. And then I've said this many

better. And then I've said this many times before, but that's why it's not enough to just watch the Brooks Trading course or just to read the books or even

just to watch these reviews. It's

important that you actually go out and do your own market behavior study and make your own video reviews because just

watching someone else do it and talk about it is a form of passive learning.

and actually doing it yourself is active learning. And I found that active

learning. And I found that active learning is a barrier that is necessary for success in any

endeavor.

It's like watching I think Al talks about this in the course. It's like

watching a professional musician or professional athlete on TV and expecting to be able to play the instrument or play the sport and deserve to make

millions of dollars for doing it. And

that's just not the way it works. So

that's why I encourage the reason I'm saying this is I encourage everyone to make their own end of day reviews.

Even if you can take five or 10 minutes at the end of the day just to talk through the chart, talk about what you did, how you saw things, it can be really helpful.

Okay. So, I'm wondering if 25 and 26 is a reset because it's a breakout and follow through.

Okay. So I'm wondering if it's a reset of the market cycle because the bulls have decent momentum breakout follow through breakout and follow through just

around at it's right around the moving average the average price. So it's not way above the average price. The bulls

have decent momentum. The limit order traders selling got trapped and they may have used 27 to exit.

And I suspect 25 and 26 is strong enough for at least some sort of second leg up.

Bull breakout 28 strong enough bar probably going at least a little bit higher.

These are bad stop order sells. Probably

buyers below 2930 and then I give up bar 31. Bears not

willing to sell. Market has to go higher to find traders willing to sell.

Pretty strong bull breakout through here. There are pauses along the way.

here. There are pauses along the way.

So, it's breakout, pause, breakout, pause, breakout. That's three pushes.

pause, breakout. That's three pushes.

It's possible we pull back here after bar 31 being the third push.

However, the bull breakout is strong. There's

open gaps. There's really not much selling pressure at all. Traders selling

for any reason through here are not making money.

Bar 31 is not an ideal bar to buy because after three pushes, it's also testing resistance.

A pullback is likely, but the pullback is likely to be minor. So even if you do buy the close 31 and use a wide stop, the odds are the market's going to test

the highs again before reversing into a bare trend. But more likely traders will

bare trend. But more likely traders will come in to buy at support. Maybe at the breakout points, the high of 29 and 30, maybe below bar 31.

And there's the minor reversal three bar micro channel. First trend resumption

micro channel. First trend resumption attempt may fail. There might be sellers above 34. The bears may get a small

above 34. The bears may get a small second leg sideways to down, but ultimately the bull breakout is stronger than the bare micro channel. So, if

anything, I'd rather be buying above bar 34 than selling below 34.

Now, we have a micro double bottom.

Bulls have a basically a double bottom bull flag. Bull breakout 34 down up 35

bull flag. Bull breakout 34 down up 35 down up reasonable stop order buy 35 and then bad sell 36. Bulls getting trend

resumption. But now we have a breakout

resumption. But now we have a breakout pullback and we're in the channel phase.

There's probably sellers at the new high, sellers at the close of bar 4.

So, vacuum 39 bull breakout, but because we're in the channel phase, the upside might be limited. And we're

testing an area where traders got trapped in a big way earlier in the day.

So, the upside here might be limited.

And we're starting to go sideways at that resistance. 43 reversal bar. It's

that resistance. 43 reversal bar. It's

another strong breakout for the bulls, but it is a possible bull channel with three legs to

resistance. And by the way, the day

resistance. And by the way, the day structure is probably a trading range day. Here's bar one back here. And the

day. Here's bar one back here. And the

market has sold off to 18, then rallied to 43.

It's not likely to be a bull reversal into a bull trend day. The upside here is probably limited based on what happened earlier in the day. 43 is a

reasonable bar to exit longs below. It's

aggressive to sell because you're selling against a pretty strong micro channel, but it is at resistance.

Then you got the breakout bar 44 probably sellers above and strong enough breakout that it trapped traders

buying below 43 buying anywhere up here.

They're trapped on 44 and that increases the chances that the bears will get a second leg down.

45 pulls back and then the bears get a second leg down. 47 strong enough breakout for a second leg. Probably

going at least a little bit lower. Maybe

test support breakout points down here and 48. I believe 48 was a measured move

and 48. I believe 48 was a measured move of bar 47.

If you use the high of 47 to the close of 47 to the highest point of the pullback, you can see the accuracy of that leg one pullback, leg two measured move. So, they'll probably be buyers

move. So, they'll probably be buyers below 48 as we come back and test support and the bears have at least three pushes

down to support now. 49, low one short at support. really not ideal for

at support. really not ideal for selling. Probably buyers below 49, but

selling. Probably buyers below 49, but it's strong enough bare breakout that there's probably sellers above and a second leg down. Likely

outside bar 50.

Bulls have a micro double bottom. 48

down up and then 50 down up near support.

And we know there's resistance at the bar for close as we found the market began to stall here and then sold off for

I don't know 15 points.

The bulls have an attempt at a bull flag and trend resumption, but now it's going to be more clear. One, two, three legs up. So not ideal to be buying here.

up. So not ideal to be buying here.

Maybe one of the problems with buying above 50 is it's a trading range bar. So

there might be more traders selling above 50. And even if they don't sell

above 50. And even if they don't sell directly above 50, they're probably going to sell near the high of the day up here.

51 decent breakout bar. Probably going

to get a some sort of second leg up, but a lot of overlap. It may pull back first. So pulling back into the buy zone

first. So pulling back into the buy zone of the bar, pulling back to the moving average, and then the bull's getting a second leg. Selling pressure through

second leg. Selling pressure through here is weak. I said this breakout is likely to get a second leg down. And I

still think it's likely to get a second leg down because the breakout traps traders. The traders buying up here get

traders. The traders buying up here get trapped into a losing position and that creates resistance above. That's why

this line is still relevant. The bar

four close seems to be resistance.

And as we approach it here around bar 54, there's probably going to be sellers not far above 54.

55 outside up.

You can count one pause, two pause or pullback, three pushes, two resistance, and it's also one, two, three legs. So

55, as strong as 55 looks, it might be a bull trap which traps traders into buying too high. Buying a lateged structure at resistance

on a trading range day. So 55 not an ideal bar to buy.

A small follow-through bar, but still not breaking out of the prior high of the day. We'll see if the bulls can get

the day. We'll see if the bulls can get one more bar and actually break out, but instead they failed to get a follow-rough bar. They failed to break

follow-rough bar. They failed to break out far above the prior high of the day.

Now 57 is a high one buy in leg three at resistance. So probably sellers above 57

resistance. So probably sellers above 57 58 outside down. Bears got their second leg. But the second leg was so strong 58

leg. But the second leg was so strong 58 such a strong bar that any trader buying up here got trapped and they're looking to

minimize their loss by exiting on any pullback. So 58 strong enough breakout.

pullback. So 58 strong enough breakout.

Second leg down expected.

59 testing the breakout point below bar 55. Any trader buying below 55, it was a

55. Any trader buying below 55, it was a strong bull bar. But if you bought below 55, you got trapped on 58. Traders use

that bar 59 to exit. And I said 58 likely to get a second leg down. And

this is probably a minor reversal up, just a pullback before there's a channel down and the bears start to get their second leg.

I like to look at measured move targets like this bar 58 from the high to the close is leg one.

And then from the highest point in the pullback is the start of leg two. And that takes us to the high of bar 24, which is a

good breakout point. It's a good target for the bears. It's a leg two measured move, and it's a breakout point where a strong breakout occurred. There's

probably support around here.

There's also support down here. I'm not

sure if we'll get all the way back down here, but if we do, this is the buy zone in the trading range. The momentum going down here makes me hesitant to want to

just set a limit order at this breakout point and buy because I'm not sure if the bears are going to stop at their leg two measured move or if it's going to continue to the bottom of the overall

trading range. And the momentum here is

trading range. And the momentum here is just too strong. Can you buy 65? I would

not. I think it's a micro channel since bar 58. So the breakout grew and it's

bar 58. So the breakout grew and it's likely to go at least a little bit lower. The first reversal is likely to

lower. The first reversal is likely to be minor, which means probably sellers above 65 and then a give up bar 66. But

now it's three pushes, one pause, two, pause, three, down to support.

66 is a great looking bare trend bar, but the context being a third push at support makes it really difficult to sell.

The riskreward, it's a big bar, so it's bad riskreward.

One times your risk is down here and you're selling at the bottom of a trading range far below the EMA. It's

really not ideal.

Market immediately pulls back on 67.

Traders selling the close 66, the strong bare trend bar. They get trapped on 67 and there's probably going to be buyers at the close of 66 if the market pulls

back here.

But instead it rallies and the traders selling down here get trapped by the breakout. Now the rally the three bar

breakout. Now the rally the three bar micro channel 67 through 69 strong enough breakout second leg up likely but

bare breakout to the left. So the first reversal probably minor may have to test the lows and then get a second leg up.

You can see as we approach resistance, the breakout point, bar 58 low, and the moving average, sellers come in. But the

downside's probably limited based on the strength of this breakout. The traders

selling down here get trapped and they may start buying at the 50% pullback.

Even if it pulls back more, like down here, there's probably buyers at the close of 66.

Bulls get their second leg one two-legged pullback. leg two on 73.

two-legged pullback. leg two on 73.

It looks like the market's in a trading range and it's testing resistance. It's

got two legs up. So, the upside here might be limited. As strong as 73 low overall trading range and that could be back somewhere up here.

Up here somewhere between these lines is probably the sell zone. 73 is a strong breakout bar, but the bulls really need one more bar of follow through and they

get it on 74. 74 is a bad stop order sell. Probably buyers below and then 75.

sell. Probably buyers below and then 75.

Now the bulls going for leg three, but the selling pressure is fairly weak.

Okay, bar on 70, but the trader selling 66 got trapped and they never exited at break even. And then the trader selling

break even. And then the trader selling 72, they also got trapped.

Even a limit order bear having trouble making money if you sold above bar 72.

You got trapped on 73 and the market gave you a quick opportunity. Maybe a

brief test of that high on 75. So there

might be more traders buying here. Bears

panicking out or getting out of the way as 73 and 74 gets a second leg up and then we're testing more resistance. But

this is a fairly tight channel for the bulls and does not have to stop here at resistance.

78 another breakout bar but testing breakout point 57 low just before the breakout on 58. So the upside here is becoming limited.

We test that breakout point and then start to pull back.

All right, that's it for today's end of day review.

All right, thanks everybody and I hope everybody has a good night.