Exact formation
A bearish candle followed by a bullish one whose real body completely covers the previous body.
What is happening in the market
Demand opens weakly, absorbs the previous sale and ends up controlling a greater range.
Where it matters
After a fall or setback and near support; it does not require enveloping shadows.
How to confirm it
Continuity above the set maximum and, if possible, higher volume.
When it is invalidated
Close below the low of the two candles.
Common mistake
Accept two equal bodies as an envelope or ignore that it appears within a range without a trend.