Candlestick Patterns Hanging Man

This Pattern is bearish if it occurs after a significant uptrend. If this pattern occurs after a significant downtrend, it is called a Hammer.

It must be kept in mind that real body of Hanging Man can be white or black, but a Black body Hanging Man is more Bearish.

In case of Hanging Man it is alway good to wait next day for confirmation before trading on the basis of this pattern. The logic is that on next day prices should open Below the Hanging Man day close & should close Below Hanging Man body. That would indicate that those who have bought at the open or close of Hanging man day are left hanging with losing trade. Now those hanging traders will try to sell their position to reduce loss & this action of theirs will push the market even further down. That would give Bearish signal & Uptrend reversal.







Candlestick Chart Patterns

Candlestick Patterns Long White Candle

Candlestick Patterns Long Black Candle

Candlestick Patterns Hammer

Candlestick Patterns Piercing Pattern

Candlestick Patterns Bullish Engulfing Pattern

Candlestick Patterns Morning Star

Candlestick Patterns Bullish Doji Star

Candlestick Patterns Hanging Man

Candlestick Patterns Dark cloud cover

Candlestick Patterns Bearish Engulfing Pattern

Candlestick Patterns Evening star

Candlestick Patterns Doji Star