Anti-Signal: Is There Any Juice Below Today’s S&P Bear Break?

Daily chart of the S&P 500 E-Mini futures contract on July 17

Today’s bear bar seems very muscular without considering the context; large size with a failed breakout attempt on the top and a close near the low of the day. Bear reversals tend to succeed in bear trends when they reverse a weak bull leg against the resuming bear trend. This is absolutely not the case Anti-Signal: Is There Any Juice Below Today’s S&P Bear Break?

Ideal Reversal and Continuation Signals

Traffic light tree in the dark - Tons of signals which one to choose

It takes more than a single candlestick, or pattern, to enter a trade, even if it meets an optimum set of criteria. Candlestick patterns are just one signal that we utilize to alert us when the short term price action lines up with the long term context. As Jeffrey Kennedy from Elliott Wave International puts Ideal Reversal and Continuation Signals