⁣The Piercing Pattern is a two-candle bullish reversal pattern that occurs after a downtrend. It consists of: A red candle followed by a green candle that opens below the low of the previous red candle but closes above its midpoint. Key Point: The Piercing Pattern shows that the market is shifting from bearish to bullish sentiment. The green candle after the red candle signals that buying pressure is increasing. Example: After a downtrend, the Piercing Pattern indicates that the bears are losing control and buyers are starting to push the price up, suggesting a potential bullish reversal.