Bullish homing pigeon patterns are a bullish pattern. They are a two-candlestick reversal pattern that forms near support levels. They look like bullish haramis but are a bit different. The first candle is a big bearish candle. The second smaller bearish candle fits inside the first bearish candle, thus looking like a bullish harami. Look for the price to break above the second candle and hold to confirm a bullish reversal.
Candlesticks eBook & Wallpapers
Table of Contents
What Is a Bullish Homing Pigeon Pattern?
A bullish homing pigeon pattern consists of two candlesticks that form near support levels where the second candle fits inside the larger, first bearish candle. Typically, when the second smaller candle fits inside the first, the price causes a bullish reversal.
These patterns are two-day candlestick chart patterns. This pattern signifies the end of a bearish trend along with a bullish reversal.
Basics
Bullish homing pigeon patterns are made up of to candlesticks. The first one is a long, bearish candle. The second candle is a smaller, bearish candle. The first candle engulfs the second candle.
It is a signal that selling pressures are losing interest. The bullish homing pigeon slows the momentum of the bearish trend.
The day following the formation of the bullish homing pigeon candle is pretty important; this confirms the reversal.
If the day after is made up of a bullish candlestick, traders take it as confirmation of a trend reversal. Some traders even take gap-up patterns the next day as confirmation, even if the trading session was not particularly bullish.
COURSE |  |  |  |
|---|---|---|---|
| DESCRIPTION | Learn how to read penny stock charts, premarket preparation, target buy and sell zones, scan for stocks to trade, and get ready for live day trading action | Learn how to buy and sell options, assignment options, implement vertical spreads, and the most popular strategies, and prepare for live options trading | How to read futures charts, margin requirements, learn the COT report, indicators, and the most popular trading strategies, and prepare for live futures trading |
| INCLUDED | Daily watch lists • Trade rooms • Trading scanners • Discord • Live streaming Day Trading > | Daily watch lists • Trade rooms • Options scanners • Discord • Live streaming Options > | Futures target levels • Trade rooms • Real time teaching • Discord • Live streaming Futures > |
Trading Bullish Homing Pigeon Patterns
- Watch for 1st falling bearish candlestick to form
- Next, watch for 2nd smaller candlestick to fit inside 1st candle
- Then, watch for 3rd candlestick to break above 2nd
- Traders take a long position once the price breaks above the 2nd candlestick
- Place stop below the base of the 2nd candle
- Some traders take a short position once the price falls below 2nd candle
- Then place a stop above the 2nd candle
Technicals
Bullish homing pigeon patterns are small 2-day candlestick patterns that signify a reversal. It is important to remember that they form inside much larger patterns such as symmetrical triangle patterns. This is a pattern that is a continuation pattern whether bullish or bearish.
If it is a bearish continuation pattern and the bullish homing pigeon candles form near the apex, if can break down instead of reversing. Hence the importance of seeing large patterns as well as small ones
