Hammer is a single candlestick pattern with
Hammer is a single candlestick pattern with
· A small body candle, and
· Long lower shadow/wick
What Hammer Pattern Indicates: Whenever the chart is in a downtrend, and a Hammer candlestick is made, it indicates that the share price might go up because the buyers have become more dominant or active.
The Morning Star is a three-candlestick pattern that converts downtrend to uptrend. It starts with a long bearish candle, followed by a small-bodied candle (either bullish or bearish) and ends with a long bullish candle.
What Morning Star Pattern Indicates: This pattern signifies a strong reversal signal, as it shows that the sellers are losing control and the buyers are taking over.
The Three White Soldiers pattern consists of three long bullish candles with small wicks that appear consecutively one after another. Each new candle opens inside the previous one's body and closes higher than the last.
The Inverted Hammer Pattern appears at the bottom of a downtrend and features a small body with a long upper shadow and little to no lower shadow.
The Dragonfly Doji is a single candlestick pattern with a very small body and a long lower shadow that appears at the bottom of a downtrend.
Bullish Harami Pattern
Bullish Harami Pattern
The Bullish Harami is a two-candlestick pattern that signals a possible upward trend reversal. Here, a small bullish candle is completely contained within the body of the previous large bearish candle.
What Bullish Harami Pattern Indicates: This pattern suggests a decrease in selling pressure and the possibility of a bullish reversal.