Beginner's Guide For Traders About Bullish Engulfing Candlesticks ?
Who has used this pattern before?
Bullish engulfing candlesticks are the opposite of bearish engulfing candlesticks.
They can be very powerful if used in the correct way.
When the price is trending down and reaches a support zone, this is a great pattern (confirmation) to look for. It tells us that the bulls (buyers) have taken control of the market.
The bullish engulfing candlestick pattern consists of a bullish candle closing higher then the open of the previous bearish candle like we have shown in the image above.
When you see this candlestick pattern at a support zone it is a valid buy signal!
Remember, this candlestick pattern is only valid at zones, trend lines and fibonacci zones, if it occurs in a random spot in the market (no mans land) then it could just be a pull back (retracement)
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