In my opinion, the one year pattern swings of the S&P 500 have been to make lower lows and lower highs.
There have been two double bottom patterns and two recoveries within six months of each other.
Double bottom pattern #1 occurred last fall with a recovery (A) that peaked on 11/3 at 2116.48.
Double bottom pattern #2 occurred in Jan. and Feb. with a recovery (B) that peaked on 4/20 at 2111.05 and has been trending lower since.
The last candle is a bullish one white soldier candle which in my opinion tells me the market in the short term will reverse course and move higher at least up to resistance at the 2082 - 2084 level.
If we are unable to take out the April high of 2111.05, I will view that as a very bearish sign. If we can take out the April high and also the Nov. high, I will turn bullish.
There have been two double bottom patterns and two recoveries within six months of each other.
Double bottom pattern #1 occurred last fall with a recovery (A) that peaked on 11/3 at 2116.48.
Double bottom pattern #2 occurred in Jan. and Feb. with a recovery (B) that peaked on 4/20 at 2111.05 and has been trending lower since.
The last candle is a bullish one white soldier candle which in my opinion tells me the market in the short term will reverse course and move higher at least up to resistance at the 2082 - 2084 level.
If we are unable to take out the April high of 2111.05, I will view that as a very bearish sign. If we can take out the April high and also the Nov. high, I will turn bullish.