Bullish vs Bearish (SRE) Sweep → Reclaim → Expansion

Visual Diagram: Bullish vs Bearish SRE

The Sweep → Reclaim → Retest → Expansion (SRE) pattern is perfectly symmetrical. The bullish version starts below liquidity; the bearish version starts above. Both follow the same structural logic — only direction changes.

Bullish SRE

  1. Liquidity Buildup: Equal lows form (sell‑side liquidity).
  2. Sweep: Price wicks below lows to grab sell‑side liquidity.
  3. Reclaim: Candle closes back above sweep wick.
  4. Retest: Price revisits reclaim level from above.
  5. Expansion: Price accelerates upward toward buyside liquidity.
  6. Continuation: Secondary leg extends toward next highs.

Direction → Upward toward buyside liquidity

Bearish SRE

  1. Liquidity Buildup: Equal highs form (buy‑side liquidity).
  2. Sweep: Price wicks above highs to grab buy‑side liquidity.
  3. Reclaim: Candle closes back below sweep wick.
  4. Retest: Price revisits reclaim level from below.
  5. Expansion: Price accelerates downward toward sell‑side liquidity.
  6. Continuation: Secondary leg extends toward next lows.

Direction → Downward toward sell‑side liquidity

Key takeaway: Both patterns follow identical logic — the sweep defines intent, the reclaim confirms structure, and the expansion delivers the move. The only difference is which side of liquidity is taken first.

Practical Market Education for Everyday Traders — The Stock Joe


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