Reversal Candles Setups - Hanging Man Candle Pattern

Hanging Man Candles Setup

Hanging Man Candles Pattern is a potentially bearish reversal xauusd signal that forms during a upwards trend. Hanging Man Candles Pattern is named so because it resembles a man hanging on a noose up high.

A hanging man candlesticks setup has:

• A small body
• The body is at the top
• The lower shadow is 2 or 3 times the length of real body.
• Has no upper shadow or very small upper shadow if present.
• The color of the body is not important

Hanging Man Candle Setup - How to Trade Hanging Man Candles Setups - XAUUSD Analysis of Hanging Man Candles Setup

XAUUSD Analysis of Hanging Man Candles Patterns

The sell signal is confirmed when a bearish candlesticks closes below the open of the candlesticks on the left side of this hanging man candlesticks setup.

Stop loss orders should be placed a few pips just above the high of the hanging man candles pattern.