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NIFTY BULLISH HAMMER PATTERN BREAKOUT LEARNING

Long
NSE:NIFTY   Nifty 50 Index
THE BULLISH HAMMER CANDLESTICK PATTERN:

PRACTICAL LEARNING ON NIFTY 02.07.2021 AT 10:45 HRS

The bullish hammer candlestick pattern is frequently observed in share market and, like many Japanese candlesticks , provides important insight into market momentum. In particular, the bullish hammer can help to REVERSAL OF DOWNTREND.

Beginners can learn from this and Traders can exploit the detection of a bullish hammer candle with a proper understanding of its foundations. what we learn From Theory we can see practical let us have little theory:

WHAT IS A BULLISH HAMMER?

A bullish hammer is a single candle found within a price chart indicating a bullish reversal. It differs from other  candlestick patterns  due to its single candle hinting at a turn during an established downtrend.

The hammer is interpreted by understanding a candles particular open, low high and close levels. To create a hammer , price must first significantly sell off to create a new low. However, after this decline, prices must significantly rally causing prices to have a small body and close near its opening price.

A hammer should look similar to a "T". This indicates the potential for a hammer candle. A hammer candlestick does not indicate a price reversal to the upside until it is confirmed.

Learn to Find Bullish Hammer pattern:

Candle with a short body and long wick (at least 2x the size of the body)
Occurs at the bottom of a downward trend
Confirmation from other indicators as mentioned below

What we learn from Pattern

Trend reversal to the upside ( bullish reversal)
Price rejection at a certain ‘key level’

Value for Beginner/Traders

Indicates potential price reversals which could lead to entering a long position at the start of an upward swing – capitalize on the full upward movement


HAPPY TRADING/HAPPY LEARNING
mcpriceaction
Trade active: Gr8 Analysis
awesome result
Perfect setup for bullish hammer total more than 10% results/Profit

any one have any query open for discussion , where are the editors bro
Comment: Gr8 Results exactly touched the FIB retracement and returned back
this is called power of technical analysis

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