Reversal Crude Oil Trading Candlestick Patterns and Their Confirmation: Hammer Oil Candlestick Pattern and Hanging Man Oil Trading Candlestick Pattern

Hanging Man Bearish Crude Oil Trading Candle Patterns

Reversal candle patterns occur after an extended prior trend. Therefore, for a candlestick pattern to qualify as a reversal oil pattern there must be a prior trend.

These reversal candlestick patterns are:

1. Hammer Oil Candlestick Pattern and Hanging Man Crude Oil Trading Candlestick Pattern
2. Inverted Hammer Oil Candlestick Pattern and Shooting Star Crude Oil Trading Candlestick Pattern
3. Piercing Line Oil Candlestick Pattern and Dark Cloud Cover Crude Oil Trading Candlestick Pattern
4. Morning Star Candlesticks & Evening Star Candlesticks
5. Engulfing Crude Oil Candles Patterns

Hammer Oil Candlestick Pattern and Hanging Man Oil Candle

Hammer Oil Candlestick Pattern and Hanging Man Oil Trading Candlestick Pattern candlesticks look alike but hammer is bullish reversal oil trading pattern and hanging man is a bearish reversal oil trading pattern.

Hammer Oil Candlestick Pattern and Hanging Man Oil Candle Pattern

Hammer Candlestick

Hammer is a potentially bullish pattern which occurs during a downward oil trend. It is named so because the crude oil market is hammering out a market bottoms.

A hammer has:

• A small body
• The body is at the top
• The lower shadow is two or three times length of the real body.
• Has no upper shadow or very small upper shadow if present.
• The color of the body isn't important

Hammer Candlestick

Technical Analysis of Hammer Crude Oil Trading Candles Pattern

The buy oil trading signal is confirmed when a candlestick closes above the opening crude oil price of the candlestick on the left side of the hammer trading candlestick pattern.

Stop orders should be placed a few pips just below the low of the hammer candle.

Hanging Man Candlestick

This oil trading pattern is a potentially bearish reversal oil trading signal that forms during a upwards oil trend. It is named so because it resembles a man hanging on a noose up high.

A hanging man candlestick has:

• A small body
• The body is at the top
• The lower shadow is two or three times length of the real body.
• Has no upper shadow or very small upper shadow if present.
• The color of the body isn't important

Hanging Man Candlestick

Technical Analysis of Hanging Man Crude Oil Candles

The sell oil trading signal is confirmed when a bearish candlestick closes below the open of the candle on left-side of this hanging man candle pattern.

Stop orders should be placed a few pips just above the high of the hanging man candle.