Congratulations for yours very efficients technicals!
Long hang seng here
How are you?
Thank you for yours video. I use your scalping strategy only in daily candle sticks.
It’s very effective on the 12 major pairs. I have 70 percents of winning trades. This strategy is very simple.
We place orders in the morning and in the evening we collect the gains. Congratulations for yours very efficients technicals!
Congratulations for yours very Efficients Technicals!
Hammer and Hanging Man Confusion
Among all the single candlestick patterns the hammer and the hanging man are very commonly used by the traders.
Lots of confusion arise as they look exactly alike but have totally different meanings depending on past price action.
If they are identified incorrectly, it can cause a lot of problems to the traders.
Hammer and hanging man both have little bodies (black or white), long lower shadows and short or absent upper shadows.
The hammer is a bullish reversal pattern that forms during a downtrend.
When price is falling, hammers signal that the bottom is near and price will start rising again.
The long lower shadow indicates that sellers pushed prices lower, but buyers were able to overcome this selling pressure and closed near the open.
More bullish confirmation is needed before it’s safe to pull the trigger.
A typical example of confirmation would be to wait for a white candlestick to close above the open to the right side of the hammer.
Then the sign is predicted as a “Buy” sign by the traders.
The hanging man is a bearish reversal pattern that can also mark a top or strong resistance level.
When price is rising, the formation of a hanging man indicates that sellers are beginning to outnumber buyers.
The long lower shadow shows that sellers pushed prices lower during the session.
Buyers were able to push the price back up some but only near the open.
If a hammer sign is seen after an uptrend, then that is actually a hanging man.
That is the best way to differentiate a hammer and a hanging man.
Both of these signs indicate a significant change in the trend of the market.
So, these patterns are very important patterns for the traders and the experts.
They can also foretell many other things when they are included into a complex pattern.