Abandoned Baby is a reversal Japanese candlestick pattern that is formed by three candles:
One doji and two candles with bodies.
Before AND after the doji, there is a gap.
The shadows on the doji must completely gap below or above the shadows of the first and third candle.
There are two types of Abandoned Baby are Bullish Abandoned Baby and Bearish Abandoned Baby.Bullish Abandoned Baby:The bullish abandoned baby occurs when there's a long white or bull candle followed by a small Doji that gaps up above the body of the white candle, followed by another long white candle. This signals that bulls are in control as they were able to push prices higher despite bears trying to push prices lower during the formation of Doji. As such, this pattern usually leads to an uptrend continuation or bullish reversal depending on where it appears in relation to trendlines/support & resistance levels etc..Bearish Abandoned Baby:The bearish abandoned baby occurs when there's a long black or bear candle followed by small Doji which gaps down below black body’s low, followed by another long black candle This signals that bears are in control as they were able to push prices lower despite bulls trying to push prices higher during the formation of Doji a such, this pattern usually leads to a down trend continuation or bearish reversal depending on where it appears on trend-lines/support & resistance levels etc.
