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 1/1/2016
Country 
Stock Exchange 
Website 
Patterns
Total
 
Confirmed
Total
 
Profitable
Signals
 
Confirmation
%
 
Profitable
Signal%
 
Per Trade 
Samples 
Profit% 
Loss% 
Total Net% Descending
USWARRANTS 111100.00100.0016.000.0016.00
ArgentinaBUE 160754846.8864.006.030.875.16
The World 121516601343116349.5151.806.271.155.12
JapanNAGOYA 61261042.6238.465.270.854.42
OmanMSM 74257.1450.004.750.504.25
PortugalLISBON 217633.3385.714.290.144.14
ChinaSSE 2844151986253.4156.754.820.973.85
IndiaBSE 109565050249046.0949.315.551.733.82
PakistanKSE 114751125644.5550.105.191.393.81
ChinaSZSE 46962388133950.8556.074.771.203.57
IndiaNSE 68022895144642.6149.904.811.443.37
South KoreaKOSDAQ 48332311125847.8454.414.331.083.24
IndonesiaIDX 71729914041.7046.824.341.153.19
PortugalLISBON 109522647.7150.004.101.083.02
Austria WIENERBORSE 175429.4180.003.200.203.00
Greece ATHENS 185427.7880.003.200.203.00
QatarQE 202854242.0849.413.800.822.98
CanadaCSE 81381449.3835.007.654.782.88
EgyptEGX 3691898051.2242.334.311.522.79
Hong KongHKEX 3253150073146.1148.734.121.392.74
RussiaMICEX 39919110947.8757.073.640.912.73
USOTC PINK 46222480104553.9641.905.793.132.66
TurkeyBIST 74229114539.2249.833.380.862.52
IsraelTASE 94447326650.1156.243.420.952.48
South KoreaKRX 3741183096048.9252.463.350.882.48
SpainIBEX 257528.0071.432.860.432.43
UAEUAE 121632852.0744.443.521.112.41
Poland GPW 84442421650.2450.943.471.102.38
USNASDAQ 85154183215749.1351.573.731.382.36
USAMEX 135073137554.1551.303.721.372.35
ThailandSET 116344122137.9250.113.381.082.29
SwedenSTOCKHOLM 169785442250.3249.413.521.222.29
BelgiumBRUSSELS 217533.3371.432.570.292.29
GermanyXETRA 207535.0071.432.570.292.29
FrancePARIS 207535.0071.432.570.292.29
ItalyBORSA 207535.0071.432.570.292.29
NetherlandsAMSTERDAM 217533.3371.432.570.292.29
JapanTOKYO 105395596306853.1054.823.200.922.27
BrazilBOVESPA 89943023547.8354.653.291.032.25
TaiwanGTSM 2791120859643.2849.343.180.992.19
DenmarkCOPENHAGEN 205525.00100.002.000.002.00
DenmarkCOPENHAGEN 3321958758.7344.623.151.152.00
Vietnam HOSE 87940519446.0847.903.101.101.99
BangladeshDSE 153568830744.8244.623.131.161.97
ChileBCS 139462733.0958.702.480.541.93
MexicoBMV 38921311454.7653.522.710.861.85
SpainIBEX 48621311243.8352.582.790.941.85
Saudi ArabiaTADAWUL 52924213745.7556.612.620.801.82
TaiwanTWSE 3419153777044.9550.102.530.801.73
FrancePARIS 2285119763852.3953.302.490.821.67
JapanFUKUOKA 2112557.1441.671.920.251.67
Greece ATHENS 2031134955.6743.362.871.211.65
UKLSE 42171140.4864.712.060.411.65
MalaysiaBURSA 70729414441.5848.982.671.031.64
Austria WIENERBORSE 1771025757.6355.882.310.681.64
USNYSE 85624583253653.5355.332.350.781.58
ChileBCS 2313956.5269.231.770.231.54
BelgiumBRUSSELS 44522611050.7948.672.160.731.43
AustraliaASX 147977437252.3348.062.391.001.39
CanadaTSX 3108164883353.0250.552.190.811.38
GermanyXETRA 2789161783857.9851.822.180.801.38
PhilippinesPSE 5512128838.4841.512.501.141.37
ArgentinaBUE 216228.5733.331.670.331.33
UKLSE 56342886147651.2851.092.220.911.31
ItalyBORSA 2336123961553.0449.642.100.841.26
BrazilBOVESPA 2512948.0075.001.670.421.25
Hong KongHKEX 125441.6780.001.200.001.20
NetherlandsAMSTERDAM 56431717456.2154.891.920.731.20
TurkeyBIST 2211550.0045.451.360.271.09
AustraliaASX 35231665.7169.571.260.221.04
SwitzerlandSIX 107862330857.7949.441.650.641.01
RussiaMICEX 1512680.0050.001.170.171.00
UAEUAE 239439.1344.441.670.671.00
NorwayOSE 48623510748.3545.532.311.340.98
Vietnam HOSE 24131054.1776.921.000.080.92
PakistanKSE 2511544.0045.451.180.270.91
FOREXFOREX 2012760.0058.331.000.170.83
MexicoBMV 38171144.7464.711.060.240.82
KuwaitKSE 80381747.5044.743.112.290.82
ThailandSET 3312736.3658.331.080.420.67
CanadaTSX 1912863.1666.670.830.170.67
South KoreaKOSDAQ 39181046.1555.560.830.170.67
MalaysiaBURSA 29201468.9770.000.800.200.60
JapanTOKYO 175329.4160.000.600.000.60
SwitzerlandSIX 2110747.6270.000.700.100.60
USFOREX 3012540.0041.670.750.170.58
IndonesiaIDX 2314960.8764.290.860.290.57
CanadaTSX-V 2901355346.5539.264.393.870.51
Poland GPW 196331.5850.000.670.170.50
USOTCBB 42150.0050.003.002.500.50
PhilippinesPSE 40201150.0055.000.700.250.45
Vietnam HNX 133582343.6139.662.842.400.45
SingaporeSGX 3101396344.8445.321.481.060.42
IsraelTASE 2812842.8666.670.670.250.42
USPREFERRED 100151723751.6545.840.790.380.42
IndiaNSE 32151046.8866.670.600.200.40
TaiwanGTSM 2410541.6750.000.600.200.40
BangladeshDSE 62281645.1657.140.640.250.39
SingaporeSGX 3013643.3346.150.380.000.38
NorwayOSE 2413754.1753.850.540.150.38
JordanASE 4315534.8833.331.471.200.27
ChinaSSE 186233.3333.330.330.330.00
SwedenSTOCKHOLM 2111652.3854.550.180.36-0.18
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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