Hanging Man candlestick pattern

The Hanging man candlestick pattern has a small body at the top with a shadow on the bottom. The shadow is at least twice as long as the small body. It looks the same as the Hammer except it is located at the top of an uptrend while the Hammer is found at the bottom of a downtrend.

Criteria

1. Found at the top of an uptrend.

2. The color of the body is not important (however, a red body is slightly more bullish than a blue

body).

3. There should be no upper shadow or a very small upper shadow.

4. The longer the lower shadow the more powerful the reversal signal.

5. The following candle needs to confirm the Hanging Man signal with a strong bearish move.

Hanging Man candlestick pattern