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shulink · #1 (**permalink**) 10-23-2008, 08:06 PM

Many people asked the question about what Bullish Engulfing Pattern is.
I think it is one of most important pattern of Candlestick Chart.
It could be understand as following a downtrend,the last day candlestick body is long enough to completely cover previous day's candlestick body,the trend may be going to reverse.
See the chart I have attached should be a good example for that pattern.

Hope it helps some people to know more.

Stock_Analyzer · #2 (**permalink**) 10-23-2008, 08:16 PM

Cool chart, here is a close up look at a "bullish engulfing" candle as well

obnoxious2 · #3 (**permalink**) 11-26-2008, 12:05 AM

The bullish engulfing seems pretty similar to the pincher theory. I'm assuming it's like more ways to confirm that a reverse trend is going to happen? My question is, say after a reverse happens after a bullish engulfing...how long does it usually last?

Stock_Analyzer · #4 (**permalink**) 11-26-2008, 08:44 AM

The timeframe depends on many many things such as stock news, market news, market conditions, emotion, buying pressure etc....we just have to watch until we get a new candle formation suggesting the trend is over, these candles might include "doji" candles, "bearish engulfing" or "hammer" candles just to name a few.

Quote:

Originally Posted by obnoxious2

The bullish engulfing seems pretty similar to the pincher theory. I'm assuming it's like more ways to confirm that a reverse trend is going to happen? My question is, say after a reverse happens after a bullish engulfing...how long does it usually last?