A bearish engulfing pattern is a reversal signal that usually appears near the top of an uptrend, indicating a possible shift from bullish to bearish momentum. It consists of two candles: the first is a small bullish candle, followed by a large bearish candle whose body completely engulfs the previous candle’s body. This shows that sellers have overpowered buyers after an attempt to continue the upward move, reflecting a change in market sentiment. The pattern becomes more reliable when it forms near a resistance zone, after a strong rally, or with higher volume, and traders often look for confirmation before taking short positions.