🔨 What is a Hammer Candle?
A hammer candle is a type of Japanese candlestick that usually appears after a price decline, indicating a potential bullish reversal.
✅ Specifications of a Hammer Candle:
A small body at the top.
A long lower shadow (called a lower wick), which should be at least twice as long as the body.
Almost no upper wick or a very short one.
Often appears after a downtrend.
🧠 What does a Hammer Candle mean?
It means that sellers were in control initially and pushed the price down.
But in the same candle, buyers entered strongly and pushed the price back up.
The result: the market shows signs of a potential reversal and buying opportunity.
📈 How do we deal with it in trading?
Do not enter the trade just because the candle appears.
Wait for a confirming bullish candle afterward.
It is best to be close to a strong support level.
#LearnTogether #Binance
A hammer candle is a type of Japanese candlestick that usually appears after a price decline, indicating a potential bullish reversal.
✅ Specifications of a Hammer Candle:
A small body at the top.
A long lower shadow (called a lower wick), which should be at least twice as long as the body.
Almost no upper wick or a very short one.
Often appears after a downtrend.
🧠 What does a Hammer Candle mean?
It means that sellers were in control initially and pushed the price down.
But in the same candle, buyers entered strongly and pushed the price back up.
The result: the market shows signs of a potential reversal and buying opportunity.
📈 How do we deal with it in trading?
Do not enter the trade just because the candle appears.
Wait for a confirming bullish candle afterward.
It is best to be close to a strong support level.
#LearnTogether #Binance
