Forex:Bearish Engulfing Pattern

Bearish Engulfing Pattern 
The Bearish Engulfing Candlestick Pattern is a bearish reversal pattern, usually occuring at the top of an uptrend.
The pattern consists of two Candlesticks:

1. Smaller Bullish Candle (Day 1)
2.  Larger Bearish Candle (Day 2) 

Generally, the bullish candle real body of Day 1 is contained within the real body of the bearish candle of Day 2. The market gaps up (bullish sign) on Day 2; but, the bulls do not push very far higher before bears take over and push prices further down, not only filling in the gap down from the morning's open but also pushing prices below the previous day's open. With the Bullish Engulfing Pattern, there is an incredible change of sentiment from the bullish gap up at the open, to the large bearish real body candle that closed at the lows of the day. Bears have successfully overtaken bulls for the day and possibly for the next few periods.


The chart below shows an example two Bearish Engulfing Patterns occuring at the end of uptrends:

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