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Engulfing Patterns


a. Bearish engulfing lines

This structure appears when a black, real body totally covers, "engulfs" the prior day´s real body. The market should be in a definable trend, not chopping around sideways. The shadows of the prior candlestick do not need to be engulfed.

b. Bullish engulfing lines

This structure appears when a white, real body totally covers, "engulfs" the prior day´s real body. The market should be in a definable trend, not chopping around sideways. The shadows of the prior candlestick do not need to be engulfed.





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