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.
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.
Pattern Performance in Stock Exchanges since 1/1/2020
Stock Exchange 
Per Trade 
Total Net% Descending
RussiaMICEX 48261454.1753.853.650.463.19
Austria WIENERBORSE 228636.3675.002.880.252.63
Greece ATHENS 248633.3375.002.880.252.63
PortugalLISBON 3013943.3369.232.850.382.46
ItalyBORSA 2510740.0070.002.500.302.20
FrancePARIS 2510740.0070.002.500.302.20
GermanyXETRA 2510740.0070.002.500.302.20
SpainIBEX 3512734.2958.332.250.421.83
DenmarkCOPENHAGEN 3011836.6772.732.000.181.82
NetherlandsAMSTERDAM 2812742.8658.332.080.331.75
BelgiumBRUSSELS 2812742.8658.332.080.331.75
ArgentinaBUE 2811539.2945.452.000.271.73
UKLSE 62241638.7166.671.920.331.58
ChileBCS 34181452.9477.781.670.171.50
TurkeyBIST 2312652.1750.001.580.251.33
FOREXFOREX 35211260.0057.141.570.241.33
BrazilBOVESPA 44211347.7361.901.710.481.24
MexicoBMV 78382548.7265.791.080.240.84
UAEUAE 3312636.3650.001.420.580.83
PakistanKSE 4822945.8340.911.000.270.73
PhilippinesPSE 56261546.4357.690.850.190.65
Hong KongHKEX 2411845.8372.730.820.180.64
AustraliaASX 60381963.3350.000.920.320.61
Vietnam HOSE 37181148.6561.110.720.170.56
South KoreaKOSDAQ 49231146.9447.830.740.220.52
USOTCBB 42150.0050.003.002.500.50
IndiaNSE 47221546.8168.180.680.180.50
ThailandSET 53231143.4047.830.700.260.43
MalaysiaBURSA 43291667.4455.170.660.240.41
USFOREX 54251246.3048.000.680.280.40
SingaporeSGX 4219945.2447.370.420.050.37
CanadaTSX 41221453.6663.640.590.230.36
NorwayOSE 7523145.880.290.370.020.35
IsraelTASE 42191045.2452.630.580.260.32
Poland GPW 3810426.3240.000.500.200.30
SwitzerlandSIX 31171054.8458.820.470.180.29
TaiwanGTSM 3314642.4242.860.500.210.29
IndonesiaIDX 39211253.8557.140.620.330.29
BangladeshDSE 121522442.9846.150.580.310.27
PortugalLISBON 833243.375.560.260.010.25
EgyptEGX 4095248.411.
ChinaSSE 3012640.0050.000.330.170.17
ThailandSET 10881140.900.
JapanTOKYO 238334.7837.500.380.250.13
JapanFUKUOKA 261142.319.
The World 135639154989549.191.340.070.010.06
Vietnam HOSE 11893344.830.560.040.000.04
UAEUAE 1541142.211.540.040.000.04
RussiaMICEX 6382241.690.750.030.000.03
KuwaitKSE 1581146.841.350.010.000.01
TaiwanGTSM 22841144.960.
ItalyBORSA 26803254.510.
Hong KongHKEX 27772146.380.
JapanTOKYO 104312252.380.
IndiaBSE 119842243.540.
ChinaSSE 50113250.770.
SwedenSTOCKHOLM 21301148.450.
IndiaNSE 64870040.540.
IndonesiaIDX 11700038.
JapanNAGOYA 750040.
South KoreaKRX 36740048.990.
MalaysiaBURSA 7490042.
MexicoBMV 4860054.530.
NorwayOSE 4119746.3436.840.370.370.00
Saudi ArabiaTADAWUL 7100046.760.
QatarQE 2080039.900.
JordanASE 150046.670.
ArgentinaBUE 5010054.690.
BangladeshDSE 12970043.
CanadaCSE 2190041.550.
CanadaTSX-V 3710039.890.
CanadaTSX 28860051.700.
BrazilBOVESPA 17650048.950.
BelgiumBRUSSELS 3350054.330.
DenmarkCOPENHAGEN 3830051.440.
GermanyXETRA 40200057.460.
SpainIBEX 4840047.730.
Greece ATHENS 2850059.650.
ChileBCS 1630049.
SwitzerlandSIX 12240056.
ChinaSZSE 66330049.590.
UKLSE 61110051.690.
USNASDAQ 98070049.860.
Vietnam HNX 1880036.700.
USOTC PINK 48490052.570.
USWARRANTS 1530047.710.
PakistanKSE 9880045.340.
PhilippinesPSE 5210042.800.
SingaporeSGX 2450037.
SwedenSTOCKHOLM 34221064.7145.450.360.360.00
USNYSE 90921053.540.
IsraelTASE 12211050.450.
AustraliaASX 17961051.730.
South KoreaKOSDAQ 47571045.760.
NetherlandsAMSTERDAM 6451053.490.
FrancePARIS 23812150.480.
TurkeyBIST 8681042.740.
TaiwanTWSE 28223148.830.
Austria WIENERBORSE 3072155.700.580.010.010.00
USAMEX 16652056.520.
Poland GPW 8941048.990.000.000.01-0.01
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


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