Bullish engulfing
A green candle whose body fully covers the prior red candle's body, a short-term sign buyers took over.
The pattern reads only the last two one-minute bars. The previous bar must close below its open (red) and the current bar must close above its open (green). The current body must also cover the previous body: the current close at or above the previous open, and the current open at or below the previous close. Wicks are ignored, and nothing checks the trend or a price level.
How to read it
- Markers sit on the green candle that completes the pattern, drawn on the price chart.
- A marker means that green candle's body swallowed the whole body of the red candle just before it.
- It is a two-bar shape: it says nothing about the move before it or the move after it.
- On one-minute bars it is frequent, so read each marker against the trend and nearby levels.
What it outputs
- Bullish engulfing
- True on each green candle whose body completes an engulfing of the prior red candle. No marker on all other bars.
When it fires
On the close of a green candle that engulfs the red candle before it: its close is at or above that candle's open, and its open is at or below that candle's close. The green candle overran the red one in a single bar, a short-term flip toward buyers, not a confirmed reversal.
Pitfalls
- On SPY one-minute bars in September 2026 it fired 783 times, about 37 a day (3.9% of bars), so expect many markers every day.
- Nothing checks the trend, so it fires in chop and rallies as often as after a fall, unlike the textbook setup that follows a decline.
- Edges that just touch count, because the code uses at-or-above and at-or-below, so a body that only meets the prior body's edge still fires.