Reversal Stock Candle Setup Patterns - Hanging Man Candle Pattern
Hanging Man Candle Pattern
Hanging Man Candles Pattern is a potentially bearish reversal which happens during a upward trend. Hanging Man Stock Candle Pattern is named so because it resembles a man hanging on a noose up high.
A hanging man candlestick pattern has:
- A small body
- The body is at the top
- The lower shadow is two or three 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
How Do I Trade Hanging Man Candlesticks Setup Patterns - How to Interpret Hanging Man Candles Pattern
Analysis of Hanging Man Candles Patterns
The sell signal is confirmed when a bearish candlestick closes below the open of the candlestick on the left side of this hanging man candle stick pattern setup.
Stop Loss orders should be set a few pips just above the high of the hanging man candle stick pattern setup.
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