The study is free to read · the interactive page is in the $29/month membership

We tested 16 chart patterns on 34 million days of price data

Golden cross, death cross, oversold RSI, 52-week highs, volume breakouts, three red days, one-day spikes. Every occurrence across 7,993 US stocks and up to 64 years of history — 12 million events — with the outcome measured against the S&P 500 over the same days, and everything split into before-2018 and since. Five patterns repeat. Three flipped sign. The rest are indistinguishable from noise. Here are the numbers.

The Formations page: the one-day +10% pop selected, its average path after the event falling away from the flat dashed baseline of the average stock, with a verdict box reporting -1.5% vs the average stock before 2018 and -6.0% since.

All sixteen, next 21 trading days vs the average stock

"Vs the average stock" is the honest yardstick: it is the pattern's average market-adjusted return minus the baseline for the era, because the average stock itself trailed the index badly after 2018. Days are clustered — 3,000 stocks crashing on the same day count once — and outliers are capped so one 10× stock cannot own an average.

FormationOccurrences1994–20172018–2026Verdict
One-day pop: +10% on 3× volume48,992−1.54%−6.04%repeats, negative
Vertical run: +20% in 10 days527,370−1.38%−2.87%repeats, negative
2σ above its 20-day band1,098,962−0.44%−0.57%repeats, negative
Overbought: RSI(14) > 702,595,192−0.30%−0.43%repeats, negative
Pullback in an uptrend1,087,083+0.20%+0.41%repeats, positive
Three red days in a row1,821,708+0.42%−0.33%flipped after 2018
Oversold: RSI(14) < 301,744,974+0.33%−0.49%flipped after 2018
2σ below its 20-day band891,449+0.39%−0.18%flipped after 2018
New 52-week high877,324−0.35%+0.09%faded after 2018
Golden cross (50d over 200d)47,325−0.30%−0.23%no reliable signal
Death cross (50d under 200d)49,334−0.10%+0.28%no reliable signal
Breakout: 20-day high on 2× volume228,020−0.14%−1.74%no reliable signal
Crash: −15% in a week383,970+0.01%−3.28%no reliable signal
New 52-week low433,558+0.04%−2.27%no reliable signal
Quiet squeeze, then breakout182,562+0.01%+0.20%no reliable signal
One-day drop: −10% on 3× volume32,786+0.53%−1.94%no reliable signal

"No reliable signal" means the result failed to hold with statistical significance in both eras — several of these look dramatic since 2018 but had no edge before it, which is exactly how noise looks. Average tilts, not predictions: the spread of individual outcomes is many times larger than every number in this table.

The clearest result argues against chasing

A stock that jumps 10% in a day on triple volume goes on to trail the market — by 1.5% over the next month before 2018, by 6% since. The same family repeats at every strength: +20% two-week runs, closes two standard deviations above the band, RSI over 70. Whatever it feels like to watch a stock go vertical, the base rate after it has been reliably below-market for thirty years. This is the one place where the data speaks with a clear, repeated voice.

The golden cross does nothing

47,325 golden crosses. No measurable information about the next two months, in either era — and its mirror, the death cross, is the same across 49,334 occurrences. This matches what we found when we tested every classic candlestick pattern on 23 years of index data: shapes without a mechanism don't survive counting. Nobody who sells golden-cross alerts publishes this table, which is why we did.

Dip-buying worked — past tense

The three classic oversold signals — RSI under 30, three consecutive down days, a close 2σ below the band — all carried a real positive tilt for two decades, on samples of a million-plus events each. All three have been flat-to-negative since 2018. Effects this well-known tend to shrink once they are well-known; watching one actually flip sign across eras, in your own data, is the best inoculation against backtests that never leave the past.

The one quiet positive

A stock touching a 10-day low while still above its 200-day average — the boring pullback-in-an-uptrend — beat the average stock by +0.2% (pre-2018) and +0.4% (since) over the following month, across a million occurrences in each era. Small, unglamorous, and the only bullish formation of the sixteen that repeated.

Every stock, charted with the arrows — updated daily

The members Formations chart: Caterpillar's two-year price with green pullback-in-uptrend arrows and gray overextension arrows on the exact days each condition turned on, an active-today chip, and the alphabetical list of all stocks currently in a pullback down the left side.

The study is the evidence; this is the daily view of it. Members type any ticker — about 4,100 covered US stocks — and get its last two years with an arrow on the exact day each of the five era-stable formations turned on, each arrow carrying its measured history in the tooltip. Or work the other way: pick a formation and get the full list of stocks where it is active on the latest close — every stock in a pullback-in-uptrend today, everything that just went vertical, every RSI-over-70 name — sorted A to Z down the left, arrow-key through them and the chart follows. Prices refresh every morning, so the lists and arrows are current through yesterday's close. Caterpillar above: an uptrend dotted with green pullback arrows, on the list because it closed at a 10-day low while above its 200-day average.

The rest of the interactive version

A formation's full outcome distribution at 21 days: a histogram with median and 10th/90th percentile markers, and the study's methodology written out beneath it.

Every formation is also a page of its own: the average path over 63 days drawn against the average stock for both eras, hit rates, the full distribution of individual outcomes, and a plain-language verdict — refreshed weekly. It sits next to the Filings Browser, the Trader Atlas and the Seasonal patterns page, all built on the dataset you can try free.

Method, in one paragraph: daily closes for 7,993 US stocks, split-adjusted, back to 1962 where history exists; a liquidity floor of $1M median daily dollar volume; outcomes are the stock's return minus the S&P 500's over the same days; one average per calendar day per formation (Fama-MacBeth), significance measured across days; outcomes capped at −50%/+100%. Historical description, not investment advice — past behaviour of an average is no promise about any stock, or any future.

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