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 92473051.0963.8312.301.4010.89
CanadaCSE 165723043.6441.6711.073.907.17
MexicoBMV 45825111454.8045.427.711.526.18
ArgentinaBUE 3021489749.0165.545.970.855.12
CanadaTSX-V 3811688744.0951.796.992.794.21
PakistanKSE 112653028147.0753.025.441.314.13
IndiaBSE 107374884241745.5249.465.501.603.90
IndonesiaIDX 90937017840.7048.115.101.303.80
Vietnam HOSE 109052728548.3554.084.781.013.77
IndiaNSE 66462748138141.3650.245.141.403.74
EgyptEGX 3852008551.9542.505.151.433.72
PortugalLISBON 248733.3387.503.750.133.63
South KoreaKOSDAQ 47732225121346.6854.444.701.113.60
TurkeyBIST 75532316342.7850.464.380.983.41
ThailandSET 106043122240.6651.514.231.083.16
USNASDAQ 83714145214449.6251.614.701.553.15
SwedenSTOCKHOLM 199295746848.0948.854.571.433.14
JapanNAGOYA 78341543.5944.124.181.063.12
Austria WIENERBORSE 185427.7880.003.200.203.00
QatarQE 209894942.5855.063.670.673.00
Greece ATHENS 195426.3280.003.200.203.00
Saudi ArabiaTADAWUL 50923413645.9758.123.660.673.00
Poland GPW 80942020152.0447.744.481.492.99
ChinaSSE 3323165893449.8956.333.790.892.90
IsraelTASE 105153331050.7158.163.901.012.89
South KoreaKRX 3576170589747.6852.613.750.882.86
ChinaSZSE 55152721148849.3454.694.011.182.83
The World 124918620063230949.7052.043.931.202.73
NorwayOSE 59929113748.7546.924.071.352.72
UAEUAE 129703554.2650.003.891.172.71
TaiwanGTSM 2587115256744.5349.223.711.052.66
Greece ATHENS 2321357759.9155.403.650.992.65
Vietnam HNX 136633046.3247.624.541.902.63
USOTC PINK 57562969121552.2840.386.143.602.54
TaiwanTWSE 3068146777147.8252.563.250.792.46
USAMEX 140477840355.5651.673.691.262.43
FrancePARIS 2132111360652.2054.453.120.802.32
Hong KongHKEX 2887133367246.1750.413.631.322.31
RussiaMICEX 59825214043.6553.643.030.732.30
KuwaitKSE 118532844.9252.833.941.642.30
GermanyXETRA 217533.3371.432.570.292.29
FrancePARIS 217533.3371.432.570.292.29
ItalyBORSA 217533.3371.432.570.292.29
SpainIBEX 48225312752.4950.203.301.072.23
PhilippinesPSE 57623710341.1543.463.431.212.23
CanadaTSX 2628140673653.5852.273.090.912.17
SpainIBEX 308526.6762.502.500.382.13
AustraliaASX 168587743952.0550.063.241.142.11
UKLSE 54762859149752.2152.363.060.972.09
ChileBCS 154593338.3155.932.690.632.07
MalaysiaBURSA 76332516342.6050.153.281.262.02
ItalyBORSA 2223122163754.9352.172.810.821.99
JapanTOKYO 103705457286352.6252.462.921.001.92
BrazilBOVESPA 120157127747.7148.343.111.251.86
BangladeshDSE 127061127048.1144.193.021.171.85
USNYSE 74744078223154.5854.692.630.851.78
PortugalLISBON 91432347.2553.492.811.051.77
UKLSE 54191335.1968.422.110.371.74
ArgentinaBUE 2510440.0040.002.000.301.70
NetherlandsAMSTERDAM 249537.5055.562.000.331.67
BelgiumBRUSSELS 249537.5055.562.000.331.67
BelgiumBRUSSELS 3902079853.0847.342.380.771.61
GermanyXETRA 2897171992259.3753.602.290.751.55
ChileBCS 30171356.6776.471.710.181.53
RussiaMICEX 34191255.8863.161.580.161.42
SwitzerlandSIX 104060031257.7951.912.020.631.40
TurkeyBIST 2312652.1750.001.580.251.33
DenmarkCOPENHAGEN 248633.3375.001.380.131.25
NetherlandsAMSTERDAM 52128014954.1352.841.950.771.17
Austria WIENERBORSE 138844360.8751.192.621.501.12
DenmarkCOPENHAGEN 3571848151.5444.022.491.401.10
BrazilBOVESPA 30151050.0066.671.330.400.93
USPREFERRED 78541021552.2352.441.380.450.93
MexicoBMV 60332255.0066.671.150.240.91
Hong KongHKEX 157546.6771.431.000.140.86
FOREXFOREX 3016853.3350.001.000.190.81
South KoreaKOSDAQ 43191144.1957.890.890.160.74
Vietnam HOSE 27151055.5666.670.870.130.73
UAEUAE 2611542.3145.451.360.640.73
ThailandSET 43181041.8655.560.890.280.61
PakistanKSE 4220847.6240.000.800.200.60
CanadaTSX 32161150.0068.750.690.130.56
SingaporeSGX 2591185245.5644.071.711.160.55
AustraliaASX 51361770.5947.220.860.330.53
PhilippinesPSE 45211246.6757.140.760.240.52
USOTCBB 42150.0050.003.002.500.50
MalaysiaBURSA 32231571.8865.220.700.220.48
JapanTOKYO 227331.8242.860.430.000.43
USFOREX 40191047.5052.630.630.210.42
IndiaNSE 38191350.0068.420.530.160.37
IndonesiaIDX 34191155.8857.890.680.320.37
TaiwanGTSM 2911537.9345.450.550.180.36
JapanFUKUOKA 2312552.1741.671.751.420.33
SingaporeSGX 3416747.0643.750.380.060.31
Poland GPW 3110432.2640.000.500.200.30
SwitzerlandSIX 2814750.0050.000.500.210.29
BangladeshDSE 98391939.8048.720.460.260.21
IsraelTASE 3517848.5747.060.470.290.18
SwedenSTOCKHOLM 2917858.6247.060.410.350.06
ChinaSSE 2410441.6740.000.200.200.00
NorwayOSE 3417750.0041.180.410.410.00
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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