Hammer Candles Patterns - Hammer Bullish Forex Candles Pattern

Hammer Bullish Forex Candlesticks Pattern - Reversal Forex Candlesticks Chart Patterns

Reversal forex candles patterns occur after an extended prior trend. Therefore, for a forex candles pattern to qualify as a reversal candles pattern there must be a prior trend.

These reversal candles patterns are:

1. Hammer Candles Pattern & Hanging Man Candles Pattern
2. Inverted Hammer Candles Pattern & Shooting Star Candles Pattern
3. Piercing Line Forex Candles Pattern & Dark Cloud Cover Candles Pattern
4. Morning Star Forex Candles and Evening Star Candles
5. Engulfing Candles Patterns

Hammer Candles Pattern and Hanging Man Candles Pattern

Hammer Candles Pattern and Hanging Man Candles Pattern forex candlesticks look alike but hammer candlesticks pattern is bullish reversal candlesticks pattern and hanging man is a bearish reversal candles pattern.

Hammer Candles Pattern vs Hanging Man Candlesticks Pattern

Hammer Candlesticks Patterns

Hammer Candles Pattern is a potentially bullish forex candlesticks pattern that forms during a forex downward trend. It is named so because the market is hammering out a market bottoms.

A hammer candlesticks pattern has:

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

Hammer Forex Candles

Forex Analysis of Hammer Candles Pattern

The buy trading signal is confirmed when a forex candlesticks closes above the opening forex price of the forex candles on left side of the hammer candles pattern.

Stop-loss orders should be set a few pips just below the low of the forex hammer candle sticks pattern.