📘 Hammer Candle Model – "The Hammer" on the Chart

🔍 The Hammer is a single candle pattern, easily recognizable with a long lower wick and a small body, resembling a hammer.

🟢 Meaning:

Appears at the end of a downtrend → Signal of a bullish reversal.

(*) If the candle has similar characteristics but appears in an uptrend, it is called the Hanged Man – a warning signal for a bearish reversal.

📌 Identification Characteristics of the Hammer:

Small body.

Long lower wick at least twice the size of the body.

No upper wick (or very small).

Appears after a price decline.

📌 Color is not important, but a confirmation candle afterward is needed to increase reliability.

🔁 There is also the Inverted Hammer – small body, long upper wick – which also signals a bullish reversal if it appears in a downtrend.