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A: The rules for updating P&F charts are very specific and they can frequently lead to confusion like this. When updating a chart, the first thing you do is you look to see if you can fill more boxes in the current column. If you can, you do - and then you stop. It doesn't matter where the stock actually ends up at the end of the day. You only reverse into a new column if you can't fill any more boxes in the current column.
On Wednesday, $SPX quickly moved up from 837.50 to over 850. Later in the day it fell back and ended up closing around 832. While the decline to 832 is what people focus on when looking at a bar/candlestick chart, its the rise to 850 that the P&F chart reflects. That rise caused two more boxes to be filled in with green X's on the chart above. Again, as soon as those boxes were filled, we had to stop updating the chart.
Of course, the reversal showed up the very next day:
