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 1/1/2018
Country 
Stock Exchange 
Website 
Patterns
Total
 
Confirmed
Total
 
Profitable
Signals
 
Confirmation
%
 
Profitable
Signal%
 
Per Trade 
Samples 
Profit% 
Loss% 
Total Net% Descending
USWARRANTS 2312852.1766.6717.831.0816.75
MexicoBMV 3582009755.8748.509.171.168.02
CanadaCSE 132592446.2139.3410.234.186.05
ArgentinaBUE 223976443.5065.986.740.875.88
The World 109888545442841349.6652.076.871.195.68
PakistanKSE 98646325646.9655.295.501.294.21
TurkeyBIST 57624312842.1952.674.840.714.13
CanadaTSX-V 3241507646.3050.676.882.893.99
IndiaBSE 93704270209045.5748.955.341.663.69
PortugalLISBON 228736.3687.503.750.133.63
IndiaNSE 59742442121740.8849.845.041.433.61
Poland GPW 68035017651.4750.294.951.373.58
USOTC PINK 49022562107152.2841.796.953.443.51
Vietnam HOSE 100547225146.9753.184.461.013.45
IndonesiaIDX 72529914141.2447.164.721.363.35
USNASDAQ 72553557185049.0851.954.801.503.30
South KoreaKOSDAQ 41981982106847.2453.864.401.113.29
NorwayOSE 46721810546.6848.174.631.393.24
ChinaSZSE 46592326128449.9255.204.171.173.00
Greece ATHENS 185427.7880.003.200.203.00
Austria WIENERBORSE 175429.4180.003.200.203.00
South KoreaKRX 3175150478947.4052.433.850.882.97
SwedenSTOCKHOLM 171182841048.5749.344.391.432.96
KuwaitKSE 99452845.4562.224.291.332.96
JapanNAGOYA 67281141.7939.294.111.212.89
QatarQE 189814442.8654.323.580.702.88
ChinaSSE 2763139677850.5255.733.760.902.86
IsraelTASE 88945726351.4157.553.891.052.84
EgyptEGX 3321756852.7138.864.281.472.81
Saudi ArabiaTADAWUL 43620010845.8754.003.590.812.78
BrazilBOVESPA 85638720045.2151.683.911.152.76
Greece ATHENS 2031216959.6157.023.721.032.69
ThailandSET 89635617639.7349.443.791.122.67
UAEUAE 121653253.7249.233.771.152.62
USAMEX 120166934355.7051.273.941.332.60
SpainIBEX 44922812050.7852.633.571.022.55
Hong KongHKEX 2619120360645.9350.373.761.282.48
UKLSE 48652548133852.5252.373.280.952.33
GermanyXETRA 207535.0071.432.570.292.29
FrancePARIS 207535.0071.432.570.292.29
ItalyBORSA 207535.0071.432.570.292.29
PhilippinesPSE 4961968139.5241.333.481.292.19
TaiwanGTSM 228698547643.0948.323.221.042.18
CanadaTSX 2397128566553.6151.753.090.922.17
FrancePARIS 1905100155052.5554.952.940.792.15
SpainIBEX 278529.6362.502.500.382.13
AustraliaASX 144775137351.9049.673.281.172.11
PortugalLISBON 85402147.0652.502.980.932.05
JapanTOKYO 90194722252752.3653.523.061.022.05
BelgiumBRUSSELS 228536.3662.502.250.252.00
NetherlandsAMSTERDAM 228536.3662.502.250.252.00
TaiwanTWSE 2696126465046.8851.422.800.801.99
ItalyBORSA 2034111158054.7252.112.820.841.98
RussiaMICEX 47021411745.5354.672.630.841.79
ChileBCS 129432233.3351.162.370.601.77
Austria WIENERBORSE 113653257.5249.233.401.651.75
USNYSE 68323700199054.1753.772.620.871.75
UKLSE 49191338.7868.422.110.371.74
BelgiumBRUSSELS 3511829151.8550.002.400.701.70
DenmarkCOPENHAGEN 216528.5783.331.670.001.67
MalaysiaBURSA 61425312741.2150.202.941.311.63
ArgentinaBUE 238334.7837.502.000.381.63
BangladeshDSE 113254423348.0642.832.741.201.55
ChileBCS 30171356.6776.471.710.181.53
SwitzerlandSIX 90051427557.1153.502.060.561.50
GermanyXETRA 2651156482659.1552.682.240.781.46
Vietnam HNX 106502347.1746.003.241.821.42
NetherlandsAMSTERDAM 45725314255.3656.132.140.731.41
RussiaMICEX 32181156.2561.111.560.171.39
TurkeyBIST 2312652.1750.001.580.251.33
BrazilBOVESPA 2612946.1575.001.670.421.25
MexicoBMV 59322154.2465.631.160.250.91
USPREFERRED 87545723652.2351.641.270.430.84
Hong KongHKEX 136446.1566.671.000.170.83
FOREXFOREX 2416866.6750.001.000.190.81
Vietnam HOSE 26141053.8571.430.930.140.79
PakistanKSE 3716743.2443.750.940.190.75
UAEUAE 2611542.3145.451.360.640.73
AustraliaASX 41291670.7355.171.000.280.72
South KoreaKOSDAQ 40181045.0055.560.830.170.67
CanadaTSX 22141063.6471.430.790.140.64
DenmarkCOPENHAGEN 2991546351.5140.912.101.470.64
ThailandSET 3714737.8450.000.930.360.57
MalaysiaBURSA 30211470.0066.670.760.190.57
PhilippinesPSE 43211248.8457.140.760.240.52
SwitzerlandSIX 2312752.1758.330.580.080.50
JapanTOKYO 186333.3350.000.500.000.50
USFOREX 3516845.7150.000.690.190.50
USOTCBB 42150.0050.003.002.500.50
Poland GPW 258432.0050.000.630.130.50
SingaporeSGX 2281074646.9342.991.631.200.43
TaiwanGTSM 2711540.7445.450.550.180.36
IndonesiaIDX 3117954.8452.940.710.350.35
SingaporeSGX 3215746.8846.670.400.070.33
IndiaNSE 37181248.6566.670.500.170.33
IsraelTASE 3115848.3953.330.530.270.27
BangladeshDSE 78341843.5952.940.530.260.26
SwedenSTOCKHOLM 2715755.5646.670.470.400.07
NorwayOSE 3417750.0041.180.410.410.00
ChinaSSE 219342.8633.330.220.220.00
JapanFUKUOKA 1910452.6340.001.301.60-0.30
JordanASE 217233.3328.570.571.57-1.00
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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