Candlestick Charting 

Candlestick Engulfing Pattern Tutorial


Japanese candlesticks have one capacity that most various other chart types don't– they can show so called "engulfing" patterns. An engulfing pattern is specified as when the open and close cost of a favorable or bearish candle light are within the series of the open as well as close cost of the candle light following them.

When this occurs several traders think it is an indication that a pattern has actually simply ended up and this is the very best possible entrance factor. That's the theory yet as we know the market doesn't constantly solution to predefined policies.

That's why David Jones includes genuine examples alongside the theory behind these details graph patterns. You'll additionally see various timespan gone over in terms of how frequently swallowing up candles can take place, as this is an essential element when choosing if you must rely on the pattern in different scenarios.

At Trading 212 we supply an implementation only solution. This video clip must not be interpreted as investment advice. Investments can drop and increase. Funding at risk. CFDs are higher risk due to utilize.

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25 Thoughts to “Candlestick Engulfing Pattern Tutorial”

  1. Joey Baez

    hi, love your videos David, can you have a video on how margins levels equity works on your account if possible and depending on your balance whats the best way to trade responsibly

    1. Trading 212

      Have a look at this video ->

      We’ll also be doing one about position sizes and risk management soon.

  2. Steve Jones

    Thank you for the great update.

  3. CryptoLex

    Love your videos and educational approach, keep up the good work my friend…

  4. Özkan ÇABITKAN

    You are great teeacher , i am watching all ur videos ,when i feel ready will start to trade ,excited candles 🙂


      Yah man come when u re ready or else…

    2. Scorpion Season

      Same I’ve been on the Demo version until I learn and eliminate my mistakes. Then I will dive in when I’ve fully understood it. I don’t wanna just be throwing my money away hoping for a miracle. Trading requires skill. Not luck

  5. Groove Federation

    fantastic videos, thanks for the tips 🙂


    Thank you guys! God Bless

  7. Rebecca M

    Seriously who dislikes your videos David??? Thank you for your teachings, they are a real eye opener.

    1. David Jones

      thanks very much!

  8. lex stevens

    hi david i would first like to say great vlogs, i have learned so much in the last couple of days 🙂 would there be any chance you can do a vlog on market makers, i have recently discovered the big institutions are manipulating the markets, to rule out all predictable close stop loss positions , thank you 🙂

  9. sekytwo

    awesome videos bro! learning alot, Thank you!

  10. M1911Mike

    This mixed with resistance and sport levels is so empowering thank you for the lesson! Just starting out on this journey and i fully believe this will make me better

  11. Stacey Hall

    Thanks for explaining this in great detail, it will really be helpful to me!

  12. Moffat thabo Keatshotse

    one of the best tutorials so far

  13. Knashley30

    Thanks for the video, great help. Why is there 3 green candles although the market is dropping? @6:06. Thanks

    1. Trading 212

      Hi Ash, every candle displays the price movement direction (increase or decrease) for a certain time interval. The trend consists of a number of candles and shows the price direction for a bigger time frame. That is why you may spot green candles in a downward trend and vise versa. Check out these video tutorials covering the basics of the Candlestick charts:
      How to Read Japanese Candlestick Charts –
      Japanese Candlestick Basics –

  14. Diamond

    I thank you and appreciate your time and value.

  15. Syamet Kdx6175

    Very powerful candlestick….I really love it….thanks💪💪💪💪

  16. Thomas Salane TV Channel [TSTV]

    hey pa, I owe you to say I love you. Thanks for your genuine Tutorials. God bess you.

  17. M Guven

    nice explanation, nice accent, easy learning. TY!

  18. CubingWithCarl

    Thanks, really helpful and i’ve seen that pattern for a while now and that it has reversed then but now I know how to use it!

  19. Steve Nguyen

    Thank you, David.

  20. mohamad zaki

    Many thanks to the trading 212 team for the excellent videos posted. Have a question for you guys, does the engulfing pattern needs any increase in volume for it to be valid? Thanks again

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