What is Bullish and Bearish Abandoned Baby Candlestick Pattern?

Bullish Abandoned Baby Candlestick Pattern

This is a reversal pattern that has three candles. It rises at the bottom of a trend.

1st candle: Long and bearish

2nd candle: Small and bearish or a Doji

3rd candle: Long and bullish

It is noticeable that the second candle doesn't overlap with the first or third candle.

The illustration chart below shows the sample of the bearish abandoned and the bullish abandoned baby pattern.

When Does The Bullish Abandoned Baby Candlestick Pattern Form?

When the forces of selling commodities shift to buying commodities, this pattern rises. The traders expect a trend change in accordance with psychological and fundamental factors.

We have discussed earlier that the second candle overlaps the first and third candle in a Morning or Evening Star candle.

We don't find an overlap between the first and third candle in this Bullish Abandoned Baby pattern.

A gap is found as a result when the buyers and sellers try to push the prices.

Bearish Abandoned Baby candlestick pattern

This is a reversal pattern that has three candles. It rises at the peak of a trend.

1st candle: Long and bullish

2nd candle: Small and bullish or a Doji

3rd candle: Long and bearish

It is noticeable that the second candle doesn't overlap with the first or third candle.

When Does The Bearish Abandoned Baby Candlestick Pattern Form?

When the forces of buying commodities shift to selling commodities, this pattern rises. The traders expect a trend change in accordance with psychological and fundamental factors.

Inference Of The Bullish And Bearish Abandoned Baby Candlestick Pattern

Both the patterns are used to identify the trends.

The Bullish Abandoned Baby pattern serves us as an entry point.

The Bearish Abandoned Baby pattern serves us as an exit point.

To ensure that our trading strategy is effective, it's always recommended to mix and match the patterns and indicators.