Market Outlook Market Outlook
Candlesticks warned us today to be on alert with a new bearish pattern.
Market attention is now on the downside.
SHORT is a dangerous signal.
Sudden increases in prices can lead to huge losses.
For this reason stop loss levels must be kept in mind at all times
and SHORT orders must never be placed without a stop loss
BEARISH ENGULFING
Definition
This pattern is characterized by a large black body engulfing a preceding smaller white body,
which appears during an uptrend.
The black body does not necessarily engulf the shadows of the white body but totally engulfs the body itself.
This is an important top reversal signal.