A Japanese Candlestick Bullish Engulfing Trend Reversal Warning Pattern arose in a certain issue of Bank of America shares in late December 2011/early January 2012. At the bottom of an extended downtrend, a tall white Candlestick price bar emerged, the “Real Body” of which (that is, the price distance between the Opening price and the Closing price) completely engulfed the “Real Bodies” of the six preceding price bars. As the pattern’s name implies, it is considered to have bullish implications.
The promise of the pattern has been fulfilled. From the $13.57 Low of the pattern to its High of $17.15 today, the price of these Bank of America shares has risen $3.58 per share, or 26.38%, in the 25 trading days since the pattern emerged.
The Japanese Candlestick Bullish Engulfing Trend Reversal Warning Pattern is very reliable. It pays to take notice and to consider taking appropriate action when it appears.
William Kurtz
http://www.CandlesticksOnSteroids.com
February 9, 2012
