Hammer & Hanging Man

Hammer & Hanging Man candlestick identification:

  • Small candle body

  • The upper shadow is very small or absent

  • Long lower shadow

Hammer candle meaning:

  • The Hammer candlestick shows that the bears initially dominated when they fell sharply from the open, but later the bulls regained the upper hand when pushing the price up, creating a shadow below the long candle.

If the Hammer candlestick appears in a downtrend, it is most likely a forecast for a bullish reversal.

Hanging Man meaning:

If the Hanging Man candlestick appears in a uptrend, it is most likely a forecast for a bearish reversal.

Follow the Price Action tradingview script

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