PAMM Counter Trend Trader’s Preference : Highly Reliable Bullish Reversal Pattern

PAMM Forex Model pig money

A counter trend trader will like the reversal formations of the candlestick very much. He will make a huge profit with this pattern since the buying action is taken in the peak point with a  relatively cheap price.

We will now discuss about the bullish reversal pattern, which is the reversal pattern from the bearish trend (down  trend) to the bullish trend (up trend). According to the strenght and weakness of the signal, this pattern is devided into three parts. They are :

  1. Strong Bullish Reversal Pattern
  2. Moderate Bullish Reversal Pattern
  3. Weak Bullish Reversal Pattern

 

For now, we will only discuss about the strong bullish reversal pattern or the highly reliable bullish reversal pattern.

  1. Abandoned Baby

This pattern is created after the moderate decreasing value movement. It is a strong sign which captures the reversal that is characterized by the formation of the doji candle in the end of the movement. It is usually seen in the D1 time frame and if we see it clearly, there is a triple bottom pattern between the two candles which choke each other so we can be sure that the bearish trend will be ended soon and replaced by the bullish.

  1. Morning Doji Star

This morning doji star pattern is formatted after the strong decreasing value movement. This pattern is a strong sign that captures the coming reversal. The reversal is characterized by the formation of doji in the end of the movement, usually seen in D1 time frame. If we see it clearly, there is a formation of head and shoulder pattern between the two candles which choke each other. We can be sure that the bearish trend will be ended soon and replaced by the bullish.

  1. Three Inside Up

This pattern is formatted after the strong value movement and is a strong sign that captures the coming reversal that is characterized by the formation of the long body bearish candle, followed by the reversal bullish candle in the early movement. It is usually seen in D1 time frame and if we see it clearly the bearish pressure has got the significant buying pressure so we can be sure that the bearish trend is finished and replaced by the bullish.

  1. Three White Soldiers

This pattern is formatted after the strong value movement and captures the coming reversal that is characterized by the formation of the bearish candle, followed by the bullish candle which covers the bearish candle in the early movement of the trend changing. It is usually seen in D1 time frame and if we see it clearly, the bearish pressure has got the significant buying pressure and creates double bottom. Now we can be sure that the bearish trend is finished and replaced by the bullish.

Happy Smart Investing !! Be an Excellent PAMM Trader