Bullish Meeting Lines
Updated on March 19, 2023
The bullish meeting lines are a candlestick pattern that consists of two or more candles. It is a bullish reversal pattern that is formed in the stock market.
How are the bullish meeting lines formed?
The first candle in the bullish meeting lines pattern is usually a bearish candle which represents a downward trend in the market. The second candle in the pattern is a bullish candle that opens lower than the previous candle’s close. This candle closes above the previous candle’s opening. This candle signals a potential reversal of the current downward trend with an increase in buying pressure.
What do the bullish meeting lines indicate?
This pattern is considered a bullish reversal pattern because it indicates the loss of control from the bears’ side and the bulls taking over. The pattern is usually seen as a sign of a potential trend reversal signaling the traders to enter into a long position in the stock or security being traded.