Reversal Commodities Trading Candle Patterns and Their Confirmation: Hammer Commodities Candle Pattern & Hanging Man Commodity Trading Candlestick Pattern

Hammer Bullish Commodity Candle Patterns

Reversal candle-stick patterns occur after an extended prior trend. Therefore, for a candlestick pattern to qualify as a reversal commodity pattern there must be a prior trend.

These reversal candlestick patterns are:

1. Hammer Commodities Candle Pattern & Hanging Man Commodity Candlestick Pattern
2. Inverted Hammer Commodities Candlestick Pattern & Shooting Star Commodity Candlestick Pattern
3. Piercing Line Commodities Candlestick Pattern & Dark Cloud Cover Commodities Candlestick Pattern
4. Morning Star Candlesticks & Evening Star Candlesticks
5. Engulfing Commodity Candles Patterns

Hammer Commodity Candle Pattern & Hanging Man Commodities Candlestick Pattern

Hammer Commodities Candle Pattern & Hanging Man Commodity Candle Pattern look alike but hammer is bullish reversal commodity pattern and hanging man is a bearish reversal commodity pattern.

Hammer Commodities Candle Pattern & Hanging Man Commodity Trading Candle Pattern

Hammer Candlestick

Hammer is a potentially bullish pattern that forms during a commodity downwards trend. It is named so because the commodity market is hammering out a market bottom.

A hammer has:

• A small body
• The body is at the top
• The lower shadow is 2 or 3 times the length of real body.
• Has no upper shadow or very small upper shadow if present.
• The color of the body isn't important

Hammer Candle

Technical Analysis of Hammer Commodities Candles Pattern

The buy commodity signal is confirmed when a candlestick closes above the opening commodities price of the candle on the left side of the hammer candlestick pattern.

Stop orders should be set a few pips just below the low of hammer candlestick.

Hanging Man Candlestick

This commodity pattern is a potentially bearish reversal commodity signal which occurs during a commodity upward trend. It's named so because it resembles a man hanging on a noose up high.

A hanging man candle has:

• A small body
• The body is at the top
• The lower shadow is 2 or 3 times the length of real body.
• Has no upper shadow or very small upper shadow if present.
• The color of the body isn't important

Hanging Man Candle

Technical Analysis of Hanging Man Commodities Candles

The sell commodity signal is confirmed when a bearish candle closes below the open of the candle on left-side of this hanging man candle pattern.

Stop orders should be set a few pips just above the high of the hanging man candle stick.