Yesterday, after the market closed, I was celebrating. Why? Yesterday’s price action was an obvious signal that demand had once again taken over the market. The pattern I was watching was a two day pattern called a “bullish engulfing.” This is a pattern that occurs when a market makes a sudden intraday shift that changes market control in favor of the bulls.
Here is the ETF for the Dow Jones Industrials. I used the ETF because the actual index does not allow for gaps during the market open. The actual bullish engulfing pattern is within the white circle.