# Reading the Market: The Engulfing Candle Signal

Wanna spot a potential trend flip? The engulfing candlestick pattern is one of those moves you can't ignore on the charts.

Here's the deal: a small candle gets completely swallowed by the next bigger candle's body. That's your pattern.

**Two flavors:**

**Bullish Engulfing** - A red (bearish) candle followed by a bigger green (bullish) candle that eats it whole. Usually signals momentum is shifting upward.

**Bearish Engulfing** - A green (bullish) candle followed by a fatter red (bearish) candle covering it. Suggests sellers are taking control.

The key thing traders watch: the bigger the engulfing candle, the stronger the signal. It means serious money came in and flipped the script.

Used right with volume confirmation, this pattern can be a legit entry/exit trigger. But like any candlestick setup, don't trade it solo—combine it with support/resistance levels and other indicators for better odds.