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
The World 76635374491898248.9250.638.001.206.80
USWARRANTS 43275.0066.676.000.335.67
JapanNAGOYA 4518740.0038.895.610.724.89
CanadaCSE 73321345.2139.399.184.524.67
ArgentinaBUE 123493641.4670.595.120.454.67
PortugalLISBON 217633.3385.714.290.144.14
PakistanKSE 76635418246.2151.414.621.483.14
IndiaBSE 70013176150245.3847.284.751.693.05
South KoreaKOSDAQ 3227150879146.8252.354.231.183.05
Vietnam HNX 79331841.7754.554.521.483.03
Austria WIENERBORSE 175429.4180.003.200.203.00
Greece ATHENS 185427.7880.003.200.203.00
IndiaNSE 4378178283340.7046.754.501.512.99
USOTC PINK 3043160266152.7441.186.433.472.96
IndonesiaIDX 4441988944.5944.954.041.252.78
Poland GPW 46023612051.5250.633.841.112.73
SwedenSTOCKHOLM 119858629148.9149.663.921.202.72
UAEUAE 73411856.1643.903.560.882.68
ChinaSZSE 3059147575848.2251.393.931.262.67
ChinaSSE 178487046048.7752.873.620.952.67
USAMEX 87246524053.3351.614.021.422.60
Hong KongHKEX 191287845445.9251.713.721.222.50
USNASDAQ 55272650134348.3350.283.891.412.48
SpainIBEX 257528.0071.432.860.432.43
TurkeyBIST 4081587438.7346.843.090.692.40
BrazilBOVESPA 50723512546.9452.523.471.092.38
South KoreaKRX 2474117459447.4950.553.230.872.36
EgyptEGX 2251114549.3340.543.771.422.34
NetherlandsAMSTERDAM 217533.3371.432.570.292.29
GermanyXETRA 207535.0071.432.570.292.29
FrancePARIS 207535.0071.432.570.292.29
BelgiumBRUSSELS 217533.3371.432.570.292.29
ItalyBORSA 207535.0071.432.570.292.29
ThailandSET 62323011936.9251.743.261.002.26
RussiaMICEX 3031347144.2252.993.090.952.14
Vietnam HOSE 67230915045.9848.543.171.052.12
PortugalLISBON 56291651.7955.173.141.032.10
KuwaitKSE 61281745.9060.713.541.502.04
DenmarkCOPENHAGEN 205525.00100.002.000.002.00
IsraelTASE 58530016751.2855.672.991.011.97
Greece ATHENS 125733658.4049.322.971.001.97
JapanTOKYO 62753275175352.1953.532.971.021.96
FrancePARIS 133968937151.4653.852.670.791.88
CanadaTSX-V 2431124946.0943.755.043.171.88
Saudi ArabiaTADAWUL 2801286845.7153.132.650.781.87
UKLSE 40161140.0068.752.190.381.81
QatarQE 130522540.0048.082.520.811.71
TaiwanGTSM 170274635843.8347.992.640.971.66
BangladeshDSE 84841517548.9442.172.811.161.65
TaiwanTWSE 190991244847.7749.122.440.811.63
SpainIBEX 3391628247.7950.622.530.951.58
USNYSE 53972904154953.8353.322.420.851.57
ItalyBORSA 140375837554.0349.472.420.881.54
ChileBCS 2313956.5269.231.770.231.54
NorwayOSE 3231466045.5140.823.261.781.48
CanadaTSX 167287743452.4549.492.360.891.47
Austria WIENERBORSE 103683566.0251.472.250.841.41
SingaporeSGX 159733445.9146.582.681.271.41
AustraliaASX 98451124951.9348.732.441.051.39
GermanyXETRA 168196251157.4152.952.150.771.37
PhilippinesPSE 3721405837.6341.432.461.111.34
ArgentinaBUE 216228.5733.331.670.331.33
MexicoBMV 2301215552.6145.452.310.981.33
BrazilBOVESPA 2512948.0075.001.670.421.25
UKLSE 3393176588252.0249.972.221.011.22
Hong KongHKEX 125441.6780.001.200.001.20
MalaysiaBURSA 3851688143.6448.212.321.141.18
RussiaMICEX 1411578.5745.451.270.181.09
TurkeyBIST 2211550.0045.451.360.271.09
SwitzerlandSIX 62134417655.3951.161.640.591.05
AustraliaASX 35231665.7169.571.260.221.04
BelgiumBRUSSELS 2651436753.9646.851.730.691.03
ChileBCS 164552633.5447.271.650.670.98
Vietnam HOSE 24131054.1776.921.000.080.92
JapanFUKUOKA 1611468.7536.361.270.360.91
PakistanKSE 2211550.0045.451.180.270.91
Poland GPW 185327.7860.000.800.000.80
MexicoBMV 3716943.2456.251.000.250.75
CanadaTSX 1811761.1163.640.910.180.73
ThailandSET 3212737.5058.331.080.420.67
IndonesiaIDX 2212854.5566.670.920.250.67
South KoreaKOSDAQ 39181046.1555.560.830.170.67
NetherlandsAMSTERDAM 3141668352.8750.001.570.930.64
JapanTOKYO 175329.4160.000.600.000.60
MalaysiaBURSA 28201471.4370.000.800.200.60
SwitzerlandSIX 209645.0066.670.670.110.56
FOREXFOREX 1911657.8954.550.730.180.55
USPREFERRED 71738219053.2849.740.890.350.54
UAEUAE 218338.1037.501.250.750.50
USOTCBB 42150.0050.003.002.500.50
PhilippinesPSE 40201150.0055.000.700.250.45
IsraelTASE 2712844.4466.670.670.250.42
TaiwanGTSM 2410541.6750.000.600.200.40
IndiaNSE 32151046.8866.670.600.200.40
SingaporeSGX 3013643.3346.150.380.000.38
NorwayOSE 2211550.0045.450.550.180.36
BangladeshDSE 59271545.7655.560.480.260.22
DenmarkCOPENHAGEN 1911003652.3636.001.871.650.22
USFOREX 2711440.7436.360.360.180.18
JordanASE 2310443.4840.001.201.200.00
ChinaSSE 186233.3333.330.330.330.00
SwedenSTOCKHOLM 2111652.3854.550.180.36-0.18
OmanMSM 21050.000.000.002.00-2.00
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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