Signal Type: Reversal
Bias: bullish
Description: An inverted hammer resembles a shooting star except it occurs at the bottom of a trend and indicates a possible reversal to the upside. Like a shooting star the most reliable signals have a long upper wick, small body (red or green though green is slightly more reliable), and a small to non-existent lower body. In this scenario bulls were able to fight the price higher as they thought prices were oversold but were pushed back by bears. Indicates bullish strength at that level, however.
Recent Comments