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bullish homing pigeon

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Financial Dictionary

Bullish Homing Pigeon

A trend indicated by a large candlestick followed by a much smaller candlestick whose body is located within the vertical range of the larger candle's body. In both candlesticks, the stock price has to have closed down from the opening price. This pattern may indicate that there is a weakening of the current downward trend.

Investopedia Commentary

If a bullish homing pigeon trend is seen in a chart it may be a good for traders to exit short positions and begin to enter into long positions. The worse the downward movement in the stock, the more likely a closing of a short position should be taken by a trader.

Related Links

Introduction To Technical Analysis
The Art of Candlestick Charting - Part 1
The Art of Candlestick Charting - Part 2
The Art of Candlestick Charting - Part 3
The Art of Candlestick Charting - Part 4

See also: Bar Chart, Bear, Bearish Harami, Bull, Bullish Harami, Candlestick

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