OPEN-SOURCE SCRIPT
Engulfing Candle Pattern
Indicator Overview
This indicator identifies Bullish and Bearish Engulfing candlestick patterns on a price chart. These patterns are reversal signals:
Key Features
1. Pattern Detection:
2. Visualization:
"Bullish Engulfing" below the candle for bullish patterns.
"Bearish Engulfing" above the candle for bearish patterns.
3. Alerts:
Triggers alerts when either pattern is detected, allowing traders to take action.
How It Works
Bullish Engulfing Condition:
Current candle is bullish (close > open).
Previous candle is bearish (close < open).
Current candle's body fully engulfs the previous candle's body.
Bearish Engulfing Condition:
- Current candle is bearish (close < open).
- Previous candle is bullish (close > open).
- Current candle's body fully engulfs the previous candle's body.
Usage
- Apply the script to any chart in TradingView.
- Look for "Bullish Engulfing" or "Bearish Engulfing" labels on the chart.
- Set up alerts to get notified when these patterns form.
This indicator is a simple yet effective tool for identifying potential trend reversals using engulfing candlestick patterns.
This indicator identifies Bullish and Bearish Engulfing candlestick patterns on a price chart. These patterns are reversal signals:
Key Features
1. Pattern Detection:
2. Visualization:
- Plots labels on the chart:
"Bullish Engulfing" below the candle for bullish patterns.
"Bearish Engulfing" above the candle for bearish patterns.
3. Alerts:
Triggers alerts when either pattern is detected, allowing traders to take action.
How It Works
Bullish Engulfing Condition:
Current candle is bullish (close > open).
Previous candle is bearish (close < open).
Current candle's body fully engulfs the previous candle's body.
Bearish Engulfing Condition:
- Current candle is bearish (close < open).
- Previous candle is bullish (close > open).
- Current candle's body fully engulfs the previous candle's body.
Usage
- Apply the script to any chart in TradingView.
- Look for "Bullish Engulfing" or "Bearish Engulfing" labels on the chart.
- Set up alerts to get notified when these patterns form.
This indicator is a simple yet effective tool for identifying potential trend reversals using engulfing candlestick patterns.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.