A bullish engulfing pattern appears when a large green candle appears after a small red candle of the previous day. The body (Green candlestick) of which completely cover the body of the previous day’s (Red) candlestick. (2/10)
This pattern signifies a change or a reversal in the ongoing trend of the prices of a particular security. (3/10)
To be ready for tomorrow’s opportunities, do your homework today.
-It is very important to do after market analysis.
-At initial stage it can take a hour or two and can be boring as well, but this homework will pay you tomorrow.
-Do sector analysis – Check the chart of all sectors.
Make a list of such sectors which are at good support or resistance levels.
- Possibilities of getting a good trade are high in such sector stocks.