BULLISH INVERTED HAMMER
The chart showing Series 1 series.
To see the performance of the pattern in your stock exchange in the context of other stock markets please examine the table below. Find your stock market there and see how it ranks among the others. This will give you an idea about the pattern’s strength and reliability and help you in your buying decisions.
BULLISH INVERTED HAMMER
Definition
This pattern consists of a black body followed by an Inverted Hammer that is characterized by a long upper shadow and a small body. It is similar in shape to the Bearish Shooting Star but unlike the Shooting Star, the Inverted Hammer appears in a downtrend and signals a bullish reversal.
Recognition Criteria
1. The market is characterized by a prevailing downtrend.
2. The first day of the pattern is a black candlestick.
3. On the second day, a small body at the lower end of the trading range is observed. Color of this body is not important.
4. The upper shadow of this second candlestick should be at least twice as long as the body.
5. There is (almost) no lower shadow.
Pattern Requirements and Flexibility
The body of the Inverted Hammer should be small. The upper shadow should be at least twice as long as the body but not shorter than an average candlestick length. It is desired that there is no or a very tiny lower shadow. The bottom of the inverted hammer should be lower than the preceding candlestick’s body.
Trader’s Behavior
The pattern occurs in a bearish background and the black candlestick that appears on the first day further supports the bearishness. On the second day, in which an Inverted Hammer is seen, market opens at or near its low. Then prices change direction and we see a rally. However, the bulls do not succeed in sustaining the rally during the rest of the day and prices finally close either at or near the low of the day. It may not be clear why this type of price action is interpreted as a potential reversal signal. The answer has to do with what happens over the next day. If the next day opens above the body of the Inverted Hammer, it means that those who shorted at the opening or closing of the Inverted Hammer day are losing money. The longer the market holds above the Inverted Hammer’s body, the more likely these shorts will attempt to cover their positions. This may ignite a rally as a result of covered short positions, which may then inspire the bottom pickers to take long positions.
Buy/Stop Loss Levels
The confirmation level is defined as the midpoint of the upper shadow of the inverted hammer. Prices should cross above this level for confirmation.

The stop loss level is defined as the lower of the last two lows. Following the BUY, if prices go down instead of going up, and close or make two consecutive daily lows below the stop loss level, while no bearish pattern is detected, then the stop loss is triggered.
Title
Pattern Performance in Stock Exchanges since 1/1/2019
Country 
Stock Exchange 
Website 
Patterns
Total
 
Confirmed
Total
 
Profitable
Signals
 
Confirmation
%
 
Profitable
Signal%
 
Per Trade 
Samples 
Profit% 
Loss% 
Total Net% Descending
MexicoBMV 45924411353.1646.318.011.616.40
USWARRANTS 144683747.2254.419.743.436.31
CanadaCSE 208923644.2339.139.003.755.25
TurkeyBIST 77236119446.7653.745.761.124.64
ArgentinaBUE 38119612151.4461.735.711.134.59
IndiaBSE 107114759241244.4650.655.791.574.22
IndonesiaIDX 98438417339.0245.055.591.424.16
IndiaNSE 63032577133940.8951.965.321.373.95
RussiaMICEX 41231456.1060.874.130.223.91
PakistanKSE 101046723146.2449.465.271.483.78
QatarQE 217864839.6355.814.330.663.66
Vietnam HOSE 115955431247.8056.324.661.063.60
South KoreaKOSDAQ 45372096115246.2054.964.511.113.39
EgyptEGX 3641898251.9243.394.691.463.23
NorwayOSE 67031915247.6147.654.481.303.18
PortugalLISBON 259736.0077.783.330.223.11
SwedenSTOCKHOLM 205198047647.9848.374.501.423.08
UAEUAE 133713753.3852.114.060.993.07
Poland GPW 82840619649.0348.284.631.583.04
Greece ATHENS 195426.3280.003.200.203.00
Austria WIENERBORSE 185427.7880.003.200.203.00
CanadaTSX-V 3841647842.7147.566.303.322.98
ChinaSZSE 57742746154747.5656.344.041.072.98
USNASDAQ 84844187207649.4249.514.531.602.94
ThailandSET 102841921140.7650.363.931.022.91
ChinaSSE 36551793106249.0859.203.750.842.91
South KoreaKRX 3544168789747.6953.083.690.852.84
TaiwanGTSM 2434108455144.5450.833.811.042.76
IsraelTASE 110957132251.4956.393.801.052.75
The World 126926624443229849.2651.663.831.202.63
Saudi ArabiaTADAWUL 62728916746.0957.793.330.772.56
TaiwanTWSE 2977141977547.6754.623.300.742.56
Hong KongHKEX 2746125964145.8550.913.851.372.49
SpainIBEX 44521310847.8750.703.481.032.45
ItalyBORSA 217533.3371.432.570.292.29
GermanyXETRA 217533.3371.432.570.292.29
FrancePARIS 217533.3371.432.570.292.29
PhilippinesPSE 5352209941.1245.003.481.212.27
USOTC PINK 56082907116352.5939.445.733.502.23
USAMEX 145981739556.0048.353.421.202.23
Greece ATHENS 2611568759.7755.773.261.102.17
BangladeshDSE 126156025944.4146.253.271.112.16
MalaysiaBURSA 74330315040.7849.503.551.402.15
SpainIBEX 308526.6762.502.500.382.13
AustraliaASX 173489544251.6149.393.291.172.12
KuwaitKSE 144693447.9249.283.681.592.09
UKLSE 54512801142751.3950.953.000.992.01
ChileBCS 158653641.1455.382.650.661.98
FrancePARIS 2239116361251.9452.622.770.881.90
JapanTOKYO 106135519289252.0052.402.830.941.88
Vietnam HNX 144602541.6741.673.671.901.77
Austria WIENERBORSE 1711005558.4855.003.121.371.75
ArgentinaBUE 2610438.4640.002.000.301.70
NetherlandsAMSTERDAM 249537.5055.562.000.331.67
BelgiumBRUSSELS 249537.5055.562.000.331.67
BelgiumBRUSSELS 3611959154.0246.672.440.771.67
CanadaTSX 2715144472753.1950.352.540.901.64
BrazilBOVESPA 148171433748.6246.812.901.271.63
RussiaMICEX 53122110942.0048.882.530.971.56
UKLSE 56211437.5066.671.900.381.52
USNYSE 73343913201153.4251.332.370.861.52
DenmarkCOPENHAGEN 3611807649.8642.222.871.371.50
ChileBCS 31181458.0677.781.670.171.50
ItalyBORSA 2408134669655.9051.712.280.811.48
TurkeyBIST 2312652.1750.001.580.251.33
DenmarkCOPENHAGEN 248633.3375.001.380.131.25
JordanASE 186333.3350.002.501.331.17
GermanyXETRA 34141998103058.5251.551.990.921.08
SingaporeSGX 2311064845.8945.282.281.261.02
MexicoBMV 63342353.9767.651.210.240.97
SwitzerlandSIX 113363330055.9647.321.680.770.91
Hong KongHKEX 188644.4475.001.000.130.88
NetherlandsAMSTERDAM 58432316955.3152.321.720.860.85
PortugalLISBON 73321443.8443.752.001.160.84
Vietnam HOSE 30151050.0066.670.870.130.73
UAEUAE 2811539.2945.451.360.640.73
USPREFERRED 86741920048.3347.731.200.490.70
South KoreaKOSDAQ 44201145.4555.000.850.150.70
BrazilBOVESPA 35181151.4361.111.110.440.67
ThailandSET 44181040.9155.560.890.280.61
CanadaTSX 34171250.0070.590.710.120.59
JapanNAGOYA 78311339.7441.941.741.160.58
JapanFUKUOKA 2613750.0053.852.001.460.54
AustraliaASX 53361767.9247.220.860.330.53
USFOREX 48221145.8350.000.730.230.50
USOTCBB 42150.0050.003.002.500.50
MalaysiaBURSA 32231471.8860.870.700.220.48
PhilippinesPSE 50231346.0056.520.700.220.48
PakistanKSE 4521846.6738.100.760.290.48
JapanTOKYO 227331.8242.860.430.000.43
IndonesiaIDX 35191154.2957.890.680.320.37
IndiaNSE 42191345.2468.420.530.160.37
SingaporeSGX 3617847.2247.060.410.060.35
Poland GPW 3110432.2640.000.500.200.30
SwitzerlandSIX 2814750.0050.000.500.210.29
TaiwanGTSM 3012540.0041.670.500.250.25
FOREXFOREX 37201054.0550.000.850.650.20
BangladeshDSE 105422140.0050.000.450.260.19
IsraelTASE 3817844.7447.060.470.290.18
SwedenSTOCKHOLM 3220962.5045.000.350.350.00
ChinaSSE 2610438.4640.000.200.200.00
NorwayOSE 3517748.5741.180.410.410.00
OmanMSM 32066.670.000.001.00-1.00
Patterns Total: How many of this particular pattern has been detected in this period
Confirmed Total: How many of the detected patterns were confirmed and converted into signals
Profitable Signals: The number of the confirmed patterns that have given profitable trades
Confirmation %: The percentage of the confirmed patterns with respect to the total occurrences of this pattern
Profitable Signal %: The percentage of the successful confirmed patterns with respect to the total confirmed patterns
Per Trade Profit %: Total Profits / Total Trades
Per Trade Loss %: Total Losses / Total Trades
Per Trade Net%: (Total Profits–Total Losses) / Total Number of Trades
Samples: Live sample ticker symbols from stock exchanges with links to stock pages of the related bulls.com© family websites

Disclaimers:

Government regulations require disclosure of the fact that while these methods may have worked in the past, past results are not necessarily indicative of future results. While there is a potential for profits there is also a risk of loss. There is substantial risk in security trading. Losses incurred in connection with trading stocks or futures contracts can be significant. You should therefore carefully consider whether such trading is suitable for you in the light of your financial condition since all speculative trading is inherently risky and should only be undertaken by individuals with adequate risk capital. Neither Americanbulls.com LLC, nor Candlesticker.com makes any claims whatsoever regarding past or future performance. All examples, charts, histories, tables, commentaries, or recommendations are for educational or informational purposes only.

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