Doubt in engulfing pattern- Please calrify

[Balaji]

Dear All,

Please see the attached image. The stock is Hindalco. I observed an engulfing bullish candle stick pattern. But I could not confirm this.

All conditions of the Bullish engulfing pattern is met, except one ( the bullish candle does not open in low, when compared to the bearish candle)

Kindly request you to see the chart and clarify my doubt.

[Johnson]

Dear Balaji

IN my opinion it is Engulfing pattern

The main criteria is to have the second real body engulf the prior real body in down trend /uptrend and should be the opposite color of the first real body.

but this reversal pattern was not confirmed by heavy volume,as the buyer sentiments on the stock must be negative.

 

[EQSIS]

This is bullish engulf, but can be ignored for trading as the stoploss or downside risk is high…. The previous bearish days lower tails is very big.. This consider as bullish indication but difficult to trade on this..

Interested post.. Keep doing it…

[Author]

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