TA School

Bullish Kicker

Master the Bullish Kicker, one of the most powerful and explosive candlestick reversal patterns that signals an instant shift in market control.

advanced level11 min read

Interactive Model

Interactive Visual Walkthrough

Bullish Kicker Reversal

Step 1 of 5
Bearish Dominance

Price moves lower, closing at $99 on Day 2 with a clear bearish candle. Sellers seem to have absolute control.

Why it matters: The kicker requires a prior bearish state to demonstrate the violent 'kick' or reversal of sentiment.

What is a Bullish Kicker Pattern?

The Bullish Kicker is a two-candle reversal pattern that represents one of the most explosive and powerful signals in technical analysis. It is characterized by a bearish candle followed by a bullish candle that opens with a significant gapGapAn area on a chart where no trading activity took place, visible as an empty space between two consecutive candles.Read full glossary entry → up above the opening price of the first candle and rallies to close even higher. It signals an immediate, complete shift in market control.

Pattern Structure

To identify a valid Bullish Kicker:

  1. DowntrendDowntrendA market direction characterized by a sequence of lower highs and lower lows.Read full glossary entry → Context: The market is typically in a downtrendDowntrendA market direction characterized by a sequence of lower highs and lower lows.Read full glossary entry → (though it can also occur as a continuation signal in an uptrendUptrendA market direction characterized by a sequence of higher highs and higher lows.Read full glossary entry →).
  2. First Candle: A bearish (red) candle that fits the prior trendTrendThe general direction in which a security or market is moving over time.Read full glossary entry →.
  3. Second Candle: A strong bullish (green) candle. It must open with a gapGapAn area on a chart where no trading activity took place, visible as an empty space between two consecutive candles.Read full glossary entry → above the opening price of the first candle (completely bypassing its body).
  4. No Shadow Overlap: Ideally, there should be no overlap between the shadows (wicks) of the two candles, representing a clean void or gap.

Market Psychology

  • Bearish Trap: Sellers are aggressive, driving price down to close at a low on Day 1.
  • The Shock Open: Overnight news breaks, causing the next session to open with a massive gap up, not only above the previous close but above the previous open. All short sellers from the previous day are instantly trapped in losses.
  • Short Squeeze: As the market opens, shorts panic and buy to cover their positions. Buyers buy aggressively, driving the price up throughout the session and forming a long green body.

Trading Setup

  • Entry: Buy immediately upon the close of the second (kicker) candle, or buy the breakoutBreakoutA price movement through an established support or resistance level. A breakout is often accompanied by increased volume, signaling strong momentum.Read full glossary entry → above its high.
  • Stop-Loss: Place the stop-loss just below the low of the first (bearish) candle.
  • Take Profit: Target major resistanceResistanceA price level where selling pressure is strong enough to prevent the price from rising further. It represents a "ceiling" on the chart.Read full glossary entry → levels or key swing highs, aiming for a risk-to-reward ratioRisk-to-Reward RatioA measure used to compare the potential profit of a trade against its potential loss. A ratio of 1:2 means the trader is risking $1 to potentially mak...Read full glossary entry → of at least 1:2.

Confirmation Rules

  • The gap between the first candle's open and the second candle's open must be clear and complete.
  • The kicker candle should be a large, solid bullish candle with small wicks.
  • VolumeVolumeThe total number of shares, contracts, or units of a security traded during a specified time period.Read full glossary entry → must be exceptionally high on the kicker day, indicating institutional backing.

Common Mistakes

[!WARNING]

  • Trading Without a Gap: Entering a trade when the second candle opens inside the first candle's body. The second candle MUST open above the first candle's open to be a kicker.
  • Ignoring Low VolumeVolumeThe total number of shares, contracts, or units of a security traded during a specified time period.Read full glossary entry →: Trading a kicker that occurs on thin, retail-only volume. These are often false breakouts and can be filled quickly.
  • Placing Stops Too Close: Placing the stop-loss too tight (e.g., inside the gap). Volatility can cause a brief dip to retestRetestA price movement back to a previously broken support or resistance level to verify it holds as the opposite barrier.Read full glossary entry → the gap before continuing higher.

Key Takeaways

  • •The Bullish Kicker is a two-candle pattern representing an immediate, violent shift in market sentiment.
  • •The first candle must be a bearish (red) candle, continuing a downtrend.
  • •The second candle must open with a gap up above the first candle's opening price, and rally to close even higher.
  • •The pattern occurs on high volume and is often triggered by sudden, high-impact fundamental events.
  • •Unlike most patterns, a kicker does not require a confirmation candle due to its extreme momentum.
Knowledge CheckQuestion 1 of 5

What defines the opening price of the second candle in a Bullish Kicker?

Previous LessonBullish Separating Line
Next LessonBear Sash Pattern