Concealing Baby Swallow: A Bullish Reversal Pattern
What is the Concealing Baby Swallow Pattern? The Concealing Baby Swallow is a four-candle bullish reversal pattern that appears during a downtrend and signals a potential reversal to the upside
First Two Candles – Strong Downtrend
The first two candles are strong bearish candles, showing continued selling pressure in the market
Third Candle – Small Candle Appears The third candle forms with a small body, indicating that selling pressure is starting to slow down
Fourth Candle – Bullish Recovery The fourth candle is a strong bullish candle that closes higher, signalling that buyers are gaining control and a reversal may occur
Confirmation & Volume Traders look for continued upward movement after the pattern. Increasing volume strengthens the bullish reversal signal