Cryptorua

Bearish Engulfing

BearishReversal2 candlesReliability:

A large bearish candle fully engulfs the prior bullish body — a strong bearish reversal.

Description

After a rally, a small bullish candle is swallowed by a large bearish one (opens above the prior close, closes below the prior open).

Market psychology

Sellers overwhelm buyers entirely in a single session — control shifts to the sell side.

How to trade

Sell / take profit when the pattern completes or on the next confirming candle; stop-loss above the engulfing candle's high.

Confirmation

Stronger at a trend top and when the engulfing candle's volume is high.

Also known as: Bearish Engulfing
Educational content only — not financial advice. Cryptorua reads public market data and never places orders.