Bullish Hammer Pattern

Bullish Hammer Pattern





The Bullish Hammer Pattern is one of the most popular candlestick patterns that people look out for when putting in place a forex or binary options trading strategy. It signals the possibility of a reversal during the end of an downtrend, and is one of the more favourable patterns for traders to spot. The setup for a bullish hammer is to first spot when an downtrend is coming to an end, then be on the lookout for the actual signal candle.

Some examples of the Bullish Hammer Patterns on various timescales on the Tradingview Chart Platform.

Bullish Hammer Pattern

 

 

 

Here we have the Bears in control then a struggle took place, the long wicks at the bottom show the presence of the fight between the two, producing a long hammer candlestick and Bulls now have control.

 

 

 

 

Bullish Hammer Pattern

 

 

A nice Bullish Hammer Pattern, once again the Bears have been in control and have taken price in to a downtrend, the Bulls have gained strength and halted the downtrend, the Bullish Hammer is produced and a small uptrend takes place.

 

 

 

 

Bullish Hammer Pattern

 

 

Another nice Bullish Hammer Pattern, once again the Bears have been fighting for total control and have taken price in to a downtrend, the Bulls have finally gained strength and halted the downtrend, the Bullish Hammer is produced and the uptrend takes place.

 

 

 

Bullish Hammer Pattern

 

 

Not all Bullish Hammers have to be green (or whatever colour you use for a Bullish candle) as we can see in this example, the hammer can be showing the Bulls finally gaining some strength after a large downtrend however the Bears are still in the game.

 

 

 

 

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