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A large green candle that completely eclipses the previous red candle.
Published by The Retail Trader · JUL 31, 2026 · Price Action
Bullish Engulfing — A large green candle that engulfs the previous red candle.
This term comes under Price Action, in the section "SINGLE AND DOUBLE CANDLE PATTERNS". Some shapes appear again and again, so their names were pad. Remember: the pattern is just a hint, not a guarantee.
Other terms in this group — understanding them together is more useful:
• Doji
• Hammer
• Shooting Star
• Marubozu
• Spinning Top
• Bearish Engulfing
• Harami
• Tweezer Top / Bottom
To read the entire group and all its examples in one place, see the journal "PRICE ACTION: THE LANGUAGE OF THE CANDLE" - this term is taken from there.
This entry is for educational purposes only and is not a recommendation to buy or sell. Exchanges change charges, margins, lot sizes and expiry rules from time to time, so verify any figures with your broker or exchange.