Yesterday's forecast proved completely wrong as the shooting star candlestick failed to pan out. Actually, these mistakes are more useful than the successes since they are learning experiences. Why did the market not fall following this bearish signal?
The key here may be that while the Dow chart looked ready to roll over, we were seeing a divergence in the ES chart. There was no doji there yesterday. Given today's action and the current state of the ES, NQ, and YM, I have to call tomorrow's close up from today, with moderate confidence. 10,400 is now established as firm support. If the bears couldn't knock it lower today given yesterday's action, then it appears the bulls remain in control.
It may also be that there wasn't really enough of a trend preceding the shooting star we saw yesterday for it to count as a true reversal signal.
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