Do you know why most traders lose money when trading the Bearish Engulfing pattern? It’s because they treat them all the same!

This post was originally posted here. The writer, Rayner Teo is a veteran community member and blogger on InvestingNote, with username known as Rayner and has 457 followers.

Here’s the thing: You can have two identical Bearish Engulfing patterns but, one is a high probability setup and the other is to be avoided (like how you run away from a stinky ol’ skunk). Why? Because you must pay attention to the context of the market. I know that’s not useful (like telling a blind man to watch his step). That’s why I’ve written this trading strategy guide to teach you all about the Bearish Engulfing pattern — so you can trade it like a professional trader. Then let’s get started… What is a Bearish Engulfing pattern and how does it work? A Bearish Engulfing Pattern is a (2-candle) bearish reversal candlestick pattern that forms after an advanced in price...