Bullish Kicker Pattern: The Gap That Started Dell's and Lam Research's 2026 Runs

Anish DasUpdated Nov 8, 20269 min readbeginner

Bullish kickerLesson 28 of 44 · Two candlesOpposite: Bearish kicker

Reads
  • Bullish
  • Two candles

On February 27, 2026, the morning after a record quarter and a forecast of about $50 billion in AI server revenue, Dell opened 13.1% higher and printed a bullish kicker. Bought at that close with a stop under the prior day's low, the trade risked 18.8%. By May 26, 2026 the stock was up 106.0%, and by August 13 up 233.9%, at a record close.

On January 2, 2026, the first trading day of the year, chip stocks rallied and Lam Research printed one at the pivot of its December breakout. The risk was 7.7%. By June 22, 2026 the stock was up 121.3%, also at a record close.

Neither stock has traded below its kicker's low since. Here is how to read a bullish kicker, why its stop is wide, and how to find the next one.

What $10,000 became#

DELLFeb 27, 2026

$10,000 became$33,395

Bought at day 2's close
148.08
Stop: day 1's low
120.31 (18.8% risk)
Next session
+3.7%
Ten sessions later
+2.4%
Best close within 60 sessions
+106.0% (May 26, 2026)
Best close within 120 sessions
+233.9% (Aug 13, 2026)
Reward for each $1 risked
$12.47
Low broken since?
Never
LRCXJan 2, 2026

$10,000 became$22,130

Bought at day 2's close
185.06
Stop: day 1's low
170.76 (7.7% risk)
Next session
+5.2%
Ten sessions later
+20.5%
Best close within 60 sessions
+34.8% (Feb 25, 2026)
Best close within 120 sessions
+121.3% (Jun 22, 2026)
Reward for each $1 risked
$15.70
Low broken since?
Never

The $10,000 and reward rows use the 120-session numbers. Prices are split-adjusted, as on the chart.

The bullish kicker in one table#

A bullish kicker is two daily candles. A long red day, then a long green day that opens above the red day's open. The second day leaves the first one behind at the open: the two bodies never meet. Something changed overnight, and buyers kept pushing all day.

Anatomy of a bullish kicker: a long red day 1, then a long green day 2 that opens above day 1's open, so the bodies never meet. Both bodies are at least half the 14-day ATR. The stop goes just under day 1's low.

These are the rules the VCP Scanner terminal uses to name a bullish kicker on a daily chart.

PartRule
Day 1A red candle with a long body: at least half the 14-day ATR
Day 2A green candle with a long body, also half the ATR or more
Day 2's openAbove day 1's open, so the two bodies never meet
SizeDay 2's range is at least half the ATR
PositionNone: it counts after a decline or in an uptrend

Most kickers come on news. Dell's came the morning after its earnings report. Lam Research's came on a sector-wide rally on the first trading day of 2026.

Bullish kicker and its look-alikes#

Five two-bar patterns in the trend each forms in: a bullish kicker that opens above day 1, a bearish kicker that opens below day 1, a bullish engulfing that opens low and closes high, a piercing line that closes past the middle of day 1, and a gap up whose low clears the prior high.
CandleShapeForms afterReads as
Bullish kickerRed day, green day opening above its openAnywhereBullish
Bearish kickerGreen day, red day opening below its openAnywhereBearish
Bullish engulfingRed day, bigger green body over itA 5-session lowBullish
Piercing lineGreen day closing past the red day's middleA 5-session lowBullish
Gap upA day whose low is above the prior highAnywhereBullish

The bullish engulfing and the piercing line open at or below the red day's close and climb back. The kicker never goes back: it opens above the whole red body. Many kickers are also gap ups, like both examples here, and the terminal names the kicker first.

Example 1: Dell (DELL) after its earnings report, Feb 27, 2026#

DELL daily chart in the VCP Scanner terminal. The bullish kicker of Feb 26 to 27, 2026: a red day to 121.45, then a day that opened at 137.37, above the red day's open of 125.10, and closed at 148.08, up 21.9%, on 4.76 times the average volume. Its stop is 120.31, the red day's low, an 18.8% risk from the close. Dell never traded below it again and reached record highs above 400 by June. The blue arrow was drawn with the terminal's Arrow Marker.
DELL daily chart in the VCP Scanner terminal. The bullish kicker of Feb 26 to 27, 2026: a red day to 121.45, then a day that opened at 137.37, above the red day's open of 125.10, and closed at 148.08, up 21.9%, on 4.76 times the average volume. Its stop is 120.31, the red day's low, an 18.8% risk from the close. Dell never traded below it again and reached record highs above 400 by June. The blue arrow was drawn with the terminal's Arrow Marker.

Open DELL in the VCP Scanner terminal →

FactDELL, Feb 27, 2026
Day 1, Feb 26: open / high / low / close125.10 / 126.00 / 120.31 / 121.45
Day 2, Feb 27: open / high / low / close137.37 / 148.86 / 136.11 / 148.08
The gapDay 2 opened 12.27 above day 1's open and 13.1% above its close
Day 2Up 21.9%, the highest close since Nov 6, 2025, 17.4% under the May 29, 2024 record close of 179.21
Stop120.31, day 1's low
Risk to stop18.8%
Volume4.76× the 50-day average, a pocket pivot in the inspector
Stage3
AlsoGap up

The news: after the close on Feb 26, Dell reported a record fourth quarter and said it expected AI server revenue of about $50 billion in the new fiscal year. The shares had their biggest jump in two years.

What followed:

  • Next session (Mar 2): closed at 153.55, up 3.7% and above the kicker's high of 148.86.
  • Ten sessions later (Mar 13): 151.62, +2.4%. Dell went sideways for two weeks before the run.
  • May 26, 2026: 305.08, +106.0%, a record close.
  • Aug 13, 2026: 494.51, +233.9%, another record close. That is 12.5 times the 27.77 risked on each share.
  • The low of 120.31 was never broken. On Nov 6, 2026 Dell closed at 328.53, 121.9% above the kicker's close.

The run to May 26 had one gap of 5% or more, on May 22, about a tenth of the move. The run to Aug 13 also holds the May 29 gap, the morning after its next earnings report, when Dell opened 31.8% higher. That gap alone was about three-tenths of the 120-session rise.

With $500 at risk, the stop sized the trade at 18 shares, about $2,665. A wide stop makes a small position. At the Aug 13, 2026 close those shares were up $6,236.

Example 2: Lam Research (LRCX) at the pivot, Jan 2, 2026#

LRCX daily chart in the VCP Scanner terminal. The bullish kicker of Dec 31, 2025 to Jan 2, 2026: a red day to 171.18, then a day that opened at 177.85, above the red day's open of 174.49, and closed at 185.06, a record close, up 8.1%. It sat on the pivot of its December breakout at 169.69. Its stop is 170.76, the red day's low, a 7.7% risk from the close. Lam Research never traded below it again and reached about 410 by June. The blue arrow was drawn with the terminal's Arrow Marker.
LRCX daily chart in the VCP Scanner terminal. The bullish kicker of Dec 31, 2025 to Jan 2, 2026: a red day to 171.18, then a day that opened at 177.85, above the red day's open of 174.49, and closed at 185.06, a record close, up 8.1%. It sat on the pivot of its December breakout at 169.69. Its stop is 170.76, the red day's low, a 7.7% risk from the close. Lam Research never traded below it again and reached about 410 by June. The blue arrow was drawn with the terminal's Arrow Marker.

Open LRCX in the VCP Scanner terminal →

FactLRCX, Jan 2, 2026
Day 1, Dec 31, 2025: open / high / low / close174.49 / 174.91 / 170.76 / 171.18
Day 2, Jan 2, 2026: open / high / low / close177.85 / 185.78 / 177.50 / 185.06
The gapDay 2 opened 3.36 above day 1's open and 3.9% above its close
LevelThe pivot of its December 2025 breakout, 169.69, retested from above
Day 2Up 8.1%, a record close, above the Dec 26, 2025 record of 178.07
Stop170.76, day 1's low
Risk to stop7.7%
Volume1.11× the 50-day average
Stage2
AlsoGap up

The day: chip stocks rallied to start 2026 after a third straight winning year, and Lam Research closed up 8.1%.

What followed:

  • Next session (Jan 5): closed at 194.76, up 5.2% and above the kicker's high of 185.78.
  • Ten sessions later (Jan 16): 222.96, +20.5%, a record close.
  • Feb 25, 2026: 249.48, +34.8%, a record close.
  • Jun 22, 2026: 409.54, +121.3%, another record close. That is 15.7 times the 14.30 risked on each share.
  • The low of 170.76 was never broken. On Nov 6, 2026 Lam Research closed at 200.44, 8.3% above the kicker's close, after giving back much of the run.

One gap made about three-tenths of the rise to Feb 25: Lam opened 9.3% higher on Jan 15, 2026, after TSMC forecast 2026 capital spending of $52 billion to $56 billion, well above estimates. Five gaps of 5% or more made about two-fifths of the rise to Jun 22.

With $500 at risk, the stop sized the trade at 34 shares, about $6,292. At the Jun 22, 2026 close those shares were up $7,632.

Where a bullish kicker counts: key levels#

A bullish kicker on a level is a test of that level. In the terminal, the Only at a key level switch is on by default and keeps the kickers at one of these:

LevelWhat it is
The 50-dayThe 50-day moving average, rising, with the stock in Stage 2
The 21-day EMAThe 21-day exponential average, rising and above the 50-day, in Stage 2
A prior lowA swing low that price undercuts and then closes back above
The pivotA breakout's pivot price, retested from above

Lam Research's was a pivot kicker: its red day came back to the pivot of its December breakout, and the kicker launched from it, so it shows with the default switch. Dell's sat on none of these levels. To see kickers like it, turn Only at a key level off.

Stage 2 is Stan Weinstein's advancing stage: the stock trades above a rising 30-week average. Dell was in Stage 3, the topping stage, where the 30-week average flattens after an advance.

How to trade a bullish kicker#

How to trade a bullish kicker: a decline into a key level, a long red day, then a green day that opens above the red day's open, Entry A at the kicker's close, Entry B at the first close above its high, the stop just under the red day's low, and the rally measured in multiples of the risk (+1R, +2R, +3R).
  1. Find the gap. A kicker is usually a news day: an earnings report, a forecast, a sector-wide move. Dell's came on its earnings report, Lam Research's on the first day of 2026.
  2. Check the bodies. A long red day, then a long green day that opens above the red day's open. Dell's opened 12.27 above it, Lam Research's 3.36.
  3. Choose your entry. Some traders buy the kicker's close. Others wait for a close above its high. Dell and Lam Research both gave that close the next session.
  4. Put the stop under day 1's low. The terminal draws it there. Because the stop sits below the gap, it is wide: 18.8% for Dell, 7.7% for Lam Research.
  5. Size from the stop. Shares = money at risk ÷ (entry − stop). With $500 at risk on Lam Research: 500 ÷ (185.06 − 170.76) = 34 shares.

A wide stop means a small position. Expect a quiet stretch too: ten sessions after its kicker, Dell was up only 2.4%.

Find bullish kickers on any chart in VCP Scanner#

  • Open a stock in the terminal, for example DELL or LRCX.
  • Open Candles in the chart toolbar and tick Bullish kicker.
  • Only at a key level is on by default. Turn it off to see every bullish kicker on the chart.
  • The chart jumps to the latest bullish kicker. A dot marks each one under its low, and the selected one shows its stop on the price scale.
  • The inspector lists the close, stop, risk to stop, level, volume and stage, and the bar's other names under Also. Walk through the others with the ← and → keys.
  • Mark the ones you care about with the drawing tools. The arrows in the charts above are the Arrow Marker (Alt+A): click where the arrow starts, then click the candle.

Candles are free, on daily, weekly and monthly charts.

Bottom line#

  • A bullish kicker is a long red day followed by a long green day that opens above it: the bodies never meet, and buyers held the gap all day.
  • Dell's started its 2026 run on its earnings report, and Lam Research's its run from the pivot on the first day of 2026. The stocks rose 233.9% and 121.3% within six months.
  • Day 1's low is the stop. It is wide, so size from it before you take the trade.

Data: VCPScanner daily market data through Nov 6, 2026, split-adjusted. The examples are for education, not recommendations.

Next lesson · 29 of 44Bearish kickerAmazon printed a bearish kicker on the hot-CPI day of Sep 13, 2022, Intuit on Nov 30, 2021. The rules, the stop and what the fall cost a holder.Read the lesson

Quick answers

What is a bullish kicker?

Two daily candles. A long red day, then a long green day that opens above the red day's open, so the two bodies never meet. Dell's on Feb 27, 2026 and Lam Research's on Jan 2, 2026 started rises of 233.9% and 121.3%.

What is the difference between a bullish kicker and a bullish engulfing?

Where day 2 opens. An engulfing opens at or below the red day's close and climbs over its body. A kicker opens above the red day's open, so it starts the day already above the whole red body.

Does a bullish kicker need a downtrend?

No. The terminal has no trend rule for it. Dell's came in Stage 3, Lam Research's in Stage 2, an uptrend, at the pivot of its December breakout.

Where does the stop go on a bullish kicker?

Under day 1's low, the pattern's low. Dell's stop was 120.31 and Lam Research's 170.76.

Why is the stop on a kicker so wide?

The stop sits under the red day, below the gap. Dell's gap made its risk 18.8%, so $500 of risk bought only 18 shares. Size from the stop, not from the account.

Anish Das

Anish DasMBA, IIM Kozhikode · Founder & Individual Investor

Founder of VCP Scanner, former Flipkart Brand Manager, and active US equity investor focused on transparent research workflows.

About the author

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