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What is Bearish & Bullish Engulfing?

  • Writer: researchtradeprofit
    researchtradeprofit
  • Aug 29, 2016
  • 1 min read

Suppose you are watching a 10 minute candlestick graph, then bearish and bullish engulfing are the patterns formed as below Bullish engulfing is formed when the second candle if bigger in size and completely covers the previous red candle. Its open is lower and close is higher than previous red candle. Bearish engulfing is the opposite when the red candle is bigger than previous green candle. Both these indicate that stock price will rise in case of bullish engulfing and fall in case of bearish engulfing


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