Best Candlestick Patterns – Engulfing Candle Strategy


Hey everybody this is Johan Nordstrom and
in this video I’m going to show you one of the best candlestick patterns namely
the bullish engulfing candle and the three upgrades how you can use it to
find more winning trades okay so this is the bullish engulfing pattern
now the first thing you need for a bullish engulfing candle is a downtrend
and at the bottom you want a bearish candle then you want a bullish candle
that opens at or below the previous close and closes at or above the
previous open and you also want the close to be near the high of the
candle so no tails on the upside and at the close you then expect a you move
higher showing you that the bulls are in control let’s look at a real chart
example here in the red circle you can see a bullish engulfing pattern now as
we talked about you first have a downtrend and a bearish candle at the
bottom then you have an open of the bullish candle at or below the previous
close and a close at or above the previous open and as you can see here we
close above the previous candle so we go from a move down the bullish engulfing
and a move up okay so now I want to show you three upgrades you can use to get
more winning trades using the bullish engulfing candle and the first thing you
want to look for is to always trade in the direction of the trend so as you can
see here at the left we start low and we continue higher so we’re making higher
highs and if you trade the bullish engulfing candle in the direction of the
trend you’re basically taking entries in a
retrace the second upgrade I want you to look for when trading the bullish
engulfing candle is support so as you can see here we have a previous low
right at the level we’re the bullish engulfing candle
appears and the third thing I want you to look for is round numbers and as you
can see in this example you have a bullish engulfing candle right at the
1200 level and round numbers are something that’s really really powerful
and something you should absolutely trade now I’d love to hear from you how
do you trade bullish engulfing candles leave a comment below and I’ll be sure
to follow up with you thanks for watching and to your success hey if you
enjoyed this video please hit the like button and share this video with your
friends if you want more trading strategies please subscribe to my
channel we got a lot of cool content here and don’t forget to click the
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watching

4 thoughts on “Best Candlestick Patterns – Engulfing Candle Strategy”

  1. Let's hear it, friends, what do you think after watching? Will you start trading the bullish engulfing candle and use the upgrades? If you'd like to get started investing and trading on your own, here is my free winning strategy guide: http://bit.ly/2O260uc

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