PRACTICAL LEARNING ON NIFTY 02.07.2021 AT 10:45 HRS
The pattern is frequently observed in share market and, like many Japanese , provides important insight into market momentum. In particular, the can help to REVERSAL OF DOWNTREND.
Beginners can learn from this and Traders can exploit the detection of a 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 HAMMER?
A bullish is a single candle found within a price chart indicating a reversal. It differs from other patterns due to its single candle hinting at a turn during an established downtrend.
The is interpreted by understanding a candles particular open, low high and close levels. To create a , 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 should look similar to a "T". This indicates the potential for a candle. A does not indicate a price reversal to the upside until it is confirmed.
Learn to Find 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 ( 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
Perfect setup for bullish hammer total more than 10% results/Profit
any one have any query open for discussion , where are the editors bro
this is called power of technical analysis