This is the monthly SPX until end of 2018.
Firstly, that was a massive December 2018 SPX monthly candle, 400 points, equivalent to more than 9 months of the bull market during the previous 2 years. It was indeed a record monthly candle, never has there been a larger one.
Good news for the bulls is the close on Dec 31st 2018 that was more than 6% from the monthly and yearly low.
But, that is not guarantee of a sustainable reversal. 2008 is one example of what appears to be a reversal candle but the decline continued after a brief respite. In 2011 and 2016, the markets recovered and the long-term bull was intact.....until NOW?
Will 2019 be like 2008 (down) or like 2011 and 2016 (up)?
Or, will it be a choppy sideways market that finishes 2019 with about 2% up or down?