The group of candlestick patterns stands out such reversal patterns, which have only one candle in their structure. This trading technique was invented originally for the stock market, but soon it successfully proved itself in currency trading as well.
The hammer candlestick pattern is frequently encountered in various markets and provides important information about a possible trend reversal. It is extremely important not only to identify it on the chart but also to use the information effectively. Let's consider in more detail this candlestick pattern, its types, and its features.