Also, a double bottom ... A hanging man pattern suggests an important potential reversal lower and is the corollary to the bullish hammer formation. The candle suggests that, for the first ...

Bullish Reversal Patterns and Bearish Reversal Patterns. For instance, a Hammer Candle Pattern is a bullish reversal pattern which tells us that a stock is nearing bottom in a downtrend.

Common bullish patterns include: Hammer. A candle with a small body ... candle completely engulfs the first bullish (green) candle. Double Top. A structure with two similar highs often warns ...