Reversal Crude Oil Trading Candlestick Patterns and Their Confirmation: Hammer Oil Candle-Stick 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 Candle-Stick Pattern and Hanging Man Crude Oil Trading Candlestick Pattern
2. Inverted Hammer Oil Candle-Stick 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 Candle-Stick Pattern and Hanging Man Oil Candle

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

Hammer Oil Candle-Stick 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.