A Bullish Abandoned Baby is a candlestick pattern that traders use to suggest a downtrend reversal. It appears during a decline and is made up of three price bars. The first candle is a huge down candle, which is followed by a doji candle that gaps below the first. The following candle opens higher than the doji and travels to the upside quickly.This pattern is named "abandoned baby" because it appears as if the market has abandoned the previous downtrend and is now starting to move in the opposite direction.Traders often use this pattern in conjunction with other technical indicators to confirm the reversal.If you spot a bullish abandoned baby on a chart, it's important to keep an eye on the subsequent price action to see if the reversal is truly underway. The bullish abandoned baby is a bullish reversal pattern that typically forms when there is a strong downtrend in place. The pattern consists of three candlesticks. The first two candlesticks should be bearish, with the first candlestick being the strongest. The third candlestick should be a bullish candlestick that gaps up and closes well into the territory of the first two candlesticks. The bullish abandoned baby indicates that the selling pressure has exhausted and that a reversal may be underway.
