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Bearish Engulfing Pattern

Posted by Stock Online Trader on May 22, 2008 in Educational, Technical Analysis

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. 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 [...]

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