Engulfing Stock Candle-sticks Setup Patterns

Bullish Engulfing Candle-stick Setup and Bearish Engulfing Candle-stick Pattern

Morning Star Candle-stick Setup

Morning Star Candle-stick Setup

Morning Star Candle-stick Pattern

Morning star candlestick is a three day bullish reversal indices pattern.

The first day is a long black candlesticks.

The second day is a morning star that gaps away from the long black candle.

Third day is a long white candlestick which fills the gap.

Filling of the gap & closing of the white candlestick above gap is a strong bullish signal.

Traders should open a buy indices trade after market stock price closes above the gap formation of the morning star candle pattern. This is the confirmation signal of a buy stock signal generated by this Morning Star Candlestick pattern.

Evening Star Stock Candle-stick Pattern

Opposite of the morning star

Evening Star Stock Candle Pattern

Evening Star Stock Candle-stick Pattern

Evening star candlestick is a three day bearish reversal indices pattern.

First day is a long white candle-stick.

The second day is evening star that gaps away from the long white candlestick.

Third day is a long black candlestick which fills the gap.

Filling of the gap and closing of the black candlestick below gap is a strong bearish signal.

Traders should open a sell indices trade once the stock trading market closes below gap formation of the evening star. This is the confirmation signal of a sell stock signal generated by this Evening star candle stick pattern setup.

Engulfing Pattern

Engulfing is a reversal candle setup that can be bearish or bullish depending upon whether it appears at the end of a market down trend or at the end of a market upward trend.

Bullish & Bearish Engulfing Pattern

Bullish & Bearish Engulfing Candle-stick Patterns

Color of the first candle indicates the indices trend of the day.

The second candle should completely engulf the first candle & it should have opposite color.

For Bullish Engulfing the color of the candlestick should be Blue

For Bearish Engulfing the color of the candlestick should be Red