Bullish abandoned baby

Definition

This five candlestick pattern starts with a strong black candlestick. The next three days after the downside gap set consecutively lower prices. However the last day completely erases the limited losses of down days and closes inside the gap between the first and second days. This suggests a short term reversal.

Recognition Criteria

1. The color of the first strong black day represents the current downtrend.
2. The second day is also black and the body gaps in the direction of the trend.
3. The third and fourth days continue the trend direction. It is better if the third day is white but it may also be black as the fourth day.
4. The fifth day is a white one that closes inside the gap formed between the first two days.

Pattern Requirements and Flexibility

The first black candlestick of the Bullish Breakaway should not be short. However the following three black candlesticks after the gap can be short while the third candlestick in the middle can be white too. The last white day should close inside the gap but should not close the gap.

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