The Stock Stethoscope

The “Bullish Kicking” Candlestick Pattern is a two-candle bullish reversal pattern that occurs after a downtrend. It’s a relatively rare pattern that signals a strong shift in sentiment from bearish to bullish.

Here are the characteristics of a Bullish Kicking Candlestick Pattern:

1) The first candle is a long black candle, indicating a strong bearish move.

2) The second candle is a long white candle, which opens above the previous day’s high (the black candle’s high) and closes above the previous day’s close (the black candle’s close). The white candle completely engulfs the black candle, indicating a complete reversal of the bearish move.

3) The second candle opens with a gap up, indicating a strong buying pressure right from the start of the trading session.

4) The volume of the second candle is usually higher than the first candle, indicating increased buying interest.

The Bullish Kicking Candlestick Pattern is a strong bullish signal, but it should be confirmed with other technical indicators, such as the Relative Strength Index (RSI) or Moving Averages.

Traders should look for this pattern after a significant downtrend, as it signals a potential reversal in trend. This pattern is particularly significant when it occurs near a key support level or trendline, which further strengthens the bullish signal.

In summary, the Bullish Kicking Candlestick Pattern is a rare but powerful bullish reversal pattern that signals a complete shift in market sentiment from bearish to bullish. Traders should look for this pattern after a significant downtrend and confirm it with other technical indicators before making a trading decision.