The hammer is a bullish reversal candlestick pattern that occurs at the bottom of a downtrend. It is characterized by a small body and a long lower shadow. The long lower shadow indicates that there was a lot of selling pressure during the day, but the buyers were able to push the price back up to the opening price.
The hammer is considered to be a reliable signal of a trend reversal, but it should be used in conjunction with other technical indicators to confirm the pattern.
Here are some tips for trading the hammer candlestick pattern:
- Look for the pattern to form after a strong downtrend.
- Wait for the price to close above the open of the hammer before entering a long position.
The hammer is a useful tool for traders who are looking to buy the market, but it is important to remember that no single pattern is 100% reliable, and traders should always use caution when trading.
These stocks have formed a Hammer Pattern on 1 Day time frame
|Company Symbol||Sector||Price||Change||Volume||52wk High||52wk High||1Y Beta||P/E||M Cap||Rating|
|HYBRIDFIN||Finance||7.80||0.00 (0.00%)||6,931||28.10||7.00||-17.60||42.14||235.5 M||Strong Sell|
|NGIL||Consumer Non-Durables||45.45||1.25 (2.83%)||21,428||149.43||41.60||0.38||60.80||553.8 M||Neutral|
|NARMADA||Process Industries||19.80||0.15 (0.76%)||7,966||31.30||18.35||1.98||39.73||266.2 M||Sell|
|OMKARCHEM||Process Industries||7.95||0.35 (4.61%)||26,408||32.30||6.80||1.57||160.5 M||Sell|