Charting and Studies User Guide - CQG.com

Engulfing Bullish
Page 231
The Engulfing Bullish formation is, of course, a bullish formation and therefore its symbol (EG)
will always appear at the bottom of the formation. It represents the opposite of the Engulfing
Bearish formation. Three criteria establish an Engulfing Bullish formation:
• The market has to be in a clearly definable downtrend, even if the trend is short term.
• Of the 2 candlesticks in the formation, the second candle's real body must engulf the
first candle's real body.
• The second real body of the formation should be "up" while the first real body should be
"down."
This formation requires a value for the Trend parameter.
Dark Cloud
The Dark Cloud formation is a bearish formation and therefore its symbol (DC) will always
appear at the top of the formation. It represents the opposite of the Piercing Line formation.
Two criteria establish a Dark Cloud formation:
• The first real body of the formation is a "up."
• The second real body's price opens above the prior session's high; however, by the end
of the second session, the close has penetrated at least 1/2 way down into the prior
session's "up" real body.
The formation occurs after an up-trend or, at times, at the top of a congestion band. This,
however, doesn’t affect the highlighting of the formation in any way.
This formation does not require a Trend parameter or Range parameter.
Double Doji
The Double Doji formation is neither a bullish or bearish formation, but represents a condition
in which the open and close for the first session are the same, followed by a second session in
which the open and close are again the same. The symbol (DD?) will always appear at the top
of the formation.
This formation does not require a Trend parameter or Range parameter.
Charting and Studies User Guide