Hanging Man Candle: A Warning Signal at the End of the Upward Trend #TrumpMediaBitcoinTreasury #MarketPullback

In the trading world, it's not enough to just chase prices — you must also monitor behavior! This is where the importance of the Hanging Man candle comes in, one of the most famous Japanese candlesticks that signals a potential reversal of the upward trend and warns of a possible upcoming decline.

General shape of the candle:

Small body (top of the candle).

Long lower shadow (at least twice the length of the body).

Upper shadow either very short or nonexistent.

Often appears after a series of upward candles.

What does it mean?

The Hanging Man candle indicates that buyers are still trying to push the price upward, but sellers have begun to show up strongly within the session, increasing the likelihood of a trend reversal.

Is it enough to enter a sell trade?

No. Like most reversal candles, the Hanging Man candle should not be relied upon alone. It’s better to wait for confirmation in the next candle (such as a strong red candle or a nearby support break), or to combine it with other technical indicators like RSI or moving averages.

Practical example:

Imagine a stock that has risen for several sessions, then a Hanging Man candle appears — this acts as a warning signal: Has the momentum ended? Have the big players started to liquidate? Close monitoring thereafter may open up an excellent selling opportunity. #BTC