1. Hammer (Bullish Reversal)
• Appearance: A small body at the top with a long lower wick.
• Meaning: Occurs after a downtrend, indicating potential reversal to the upside.
The long lower wick shows sellers tried to push the price lower, but buyers regained control.
2. Inverted Hammer (Bullish Reversal)
• Appearance: A small body at the bottom with a long upper wick.
• Meaning: Appears at the end of a downtrend, suggesting potential upward reversal.
The long upper wick shows buying pressure, but sellers temporarily pushed the price down.
3. Hanging Man (Bearish Reversal)
• Appearance: A small body at the top with a long lower wick.
• Meaning: Appears at the top of an uptrend, indicating a potential reversal to the downside.
The long lower wick shows selling pressure increasing, despite buyers maintaining control.
4. Shooting Star (Bearish Reversal)
• Appearance: A small body at the bottom with a long upper wick.
• Meaning: Occurs at the top of an uptrend, signaling a possible reversal to the downside.
The long upper wick shows buyers tried to push the price higher, but sellers gained control
#LearnTogether #learn #trade #signal
