SINGLE CANDLESTICK BULLISH REVERSAL PATTERN: HAMMER

Bullish Single Candlestick Reversal Patterns – Hammer

Candlesticks Hammer is a Bullish Single Candle Reversal Pattern which is relevant when forms at the bottom of downtrend or at the bottom of a pullback and can indicate short to long term trend reversal after confirmation.

Real Body – Can be either green or red. But green Hammer is slightly more bullish than red Hammer.

Shadow -The lower shadow should be at least 2 times the size of the body. Ideally no upper shadow, but very small upper shadow is acceptable.

Confirmation of Set up – Market closes above the Hammer.

HammerPic

 

Set up

Hammer Set up

 

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