Sunrise Pattern – Bullish Heikin Ashi Reversal Pattern

The Sunrise Pattern is a bullish reversal pattern in Heikin Ashi charting that signals a potential shift from a bearish trend to a bullish trend. It is introduced by Definedge.

It consists of three candles.

The first candle is a bearish Heikin Ashi candle, indicating that sellers are still in control of the market. It is introduced by Definedge.

The second candle is a Heikin Ashi Doji (bullish or bearish), which represents indecision between buyers and sellers. This candle is important because it suggests that the bearish momentum is losing strength.

The third candle is a bullish Heikin Ashi candle, confirming that buyers have started gaining control.

The Sunrise Pattern can be viewed as the moment just before dawn. After a period of darkness represented by the bearish trend, the market begins to show signs of a new beginning.