Bullish Meeting Lines Candle Pattern
Once the upward breakout occurs, price trends, scoring very well for price performance over the coming 10 days, regardless of the bull or bear market conditions. Unfortunately, the frequency rank is 72 out of 103 candlestick types. That makes it somewhat rare, like seeing a hummingbird in Canada during the late fall.
Bullish Meeting Lines Candlestick: Important Results
| Characteristic | Discussion |
| Number of candle lines | Two. |
| Price trend leading to the pattern | Downward. |
| Configuration | Look for a tall black candle followed by a tall white candle in an upward price trend. The two closes should be near one another. |
Bullish Meeting Lines Candlestick: Discussion
The bullish meeting lines candlestick pattern acts as a bullish reversal 56% of the time, which is what I consider “near random.” However, once the breakout direction is established, price tends to trend. The best performance 10 days after an upward breakout in a bear market is 5.08%. I consider 6% as being a good move, so this one is a bit short. The best performance rank is 27. That is decent but not spectacular since 1 is the best performance out of 103 candle types.
Considering that just 66% of the time does an upward breakout in a bull market meet the price target, the trend after the breakout may not extend as high as the height of the candle pattern projected upward from the top of the candle. Thus, be modest in your targeting and expectations.
Bullish Meeting Lines Candlestick: Three Trading Tidbits
If you want a few bones from my Encyclopedia of candlestick charts book, here are three to chew on. The pages refer to the book where the tips appear.
- Bullish meeting lines candles that appear within a third of the yearly low perform best — page 582.
- Reversals occur most often within a third of the yearly high in a bull market — page 585.
- Trade in the direction of the breakout when it agrees with the primary trend — page 583-584.
Bullish Meeting Lines Candlestick: Example
The chart shows a bullish meeting lines candle pattern, circled in red on the daily scale. The first day is a tall black candle in a downward price trend. Following that is a tall white candle with closing prices between the two candles at or near the same price.
The breakout from this bullish meeting lines candle is downward, joining the downward primary trend. This candlestick pattern acts as a continuation of the price trend. Notice that when the candle pattern breakout and the primary tend both agree, price tends to drop further. Trade with the trend for the highest success rate.
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