What does a bearish engulfing pattern suggest? Option: "A potential slowdown or reversal of an upward trend", "A strong upward trend in the stock price", "A period of consolidation with little price movement", "Increased buying pressure and a bullish market"

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What does a bearish engulfing pattern suggest?

"A potential slowdown or reversal of an upward trend"

"A strong upward trend in the stock price"

"A period of consolidation with little price movement"

"Increased buying pressure and a bullish market"

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What is the name given to an engulfing pattern that appears at the bottom of a downtrend?

Piercing Pattern

Bearish Engulfing Pattern

Bullish Engulfing Pattern

Doji Pattern

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What does the presence of a doji after an engulfing pattern suggest?

Market indecision

Trend continuation

Trend reversal

Increased volatility

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What is the name of the pattern that is similar to a bearish engulfing pattern but with P2 engulfing only 50% to 100% of P1?

Hammer Pattern

Dark Cloud Cover

Doji Pattern

Piercing Pattern

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How does a piercing pattern differ from a bullish engulfing pattern?

The piercing pattern is a bearish pattern

The second candle (P2) in a piercing pattern only partially engulfs the first candle (P1)

The first candle (P1) in a piercing pattern is blue

The piercing pattern appears at the top of an uptrend

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How should a trader interpret a spinning top appearing in a downtrend?

As a definitive sign of trend reversal

As a signal to immediately sell all holdings

As a sign to increase position size due to bullish momentum

As an indication of potential trend continuation or reversal