Binary Signal Pattern 6

Binary Signal Pattern 6

Inverted hammer

The Inverted hammer is a candlestick pattern found after a downward trend. In technical analysis, the Inverted Hammer is the reverse form of the Hammer candlestick pattern, like the Hammer, it also occurs in a downtrend. The pattern is made by a single candle, the open, close, and low are near the low of the pattern. The Inverted Hammer candlestick pattern forms when the buyers push the stock price higher against the sellers. However, the stock retraces and closes near the open price. The inverted hammer looks like an inverted version of the hammer candlestick pattern. The pattern consists of a candle having a small lower body and a long upper wick, the upper wick should be at least twice than its real body.