| Bearish Engulfing Pattern | |
 A chart pattern that consists of a small white candlestick with short shadows or tails followed by a large black candlestick that eclipses or "engulfs" the small white one.  |
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 As implied by its name, a bearish engulfing pattern may provide an indication of a future bearish trend. This type of pattern usually accompanies an uptrend in a security, possibly signaling a peak or slowdown in its advancement. However, whenever a trader analyzes any candlestick pattern, it's important for him or her, before making any decisions, to consider the prices of the days that precede and follow the formation of the pattern. |
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 The Art of Candlestick Charting - Part 1 - Discover the components and basic patterns of this ancient technical-analysis technique. The Art of Candlestick Charting - Part 2 - Learn why crowd psychology is the reason this technique works, and discover how to analyze 'hammers and 'hanging men'. The Art of Candlestick Charting - Part 3 - Take a look at continuation patterns and how they can confirm or deny trends. The Art of Candlestick Charting - Part 4 - Learn about more continuation patterns on the bullish and bearish sides: the engulfing pattern, harami and harami cross. |
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