The Engulfing Bar Candlestick Pattern

in bearishengulfingbar •  last year 

Introduction:

  • Definition of the engulfing bar candlestick pattern.
  • Description of the bearish engulfing pattern as an important candlestick pattern.

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Bearish Engulfing Bar Candlestick Pattern:

  • Explanation of the bearish engulfing pattern consisting of two bodies, with the second body fully engulfing the previous one.
  • Example of how a bearish engulfing bar pattern looks on a chart.
  • Interpretation of the bearish engulfing pattern indicating that sellers are in control of the market.
  • Implication of the bearish engulfing pattern occurring at the end of an uptrend as a signal of trend reversal.

Conclusion:

  • Cautionary note about the need for other technical tools to confirm entries based on bearish candlestick patterns.
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