Hanging Man
Also known as: Hanging Man candle
Small body on top with a long lower wick, after an uptrend. A first sign that sellers are stepping in, a bearish warning.
What it looks like
Long lower wick, small body on top. Identical in shape to the hammer, but at the end of an uptrend.
What it means
In the middle of an uptrend strong selling appeared; the fact it was bought back doesn't change that sellers showed up for the first time.
How it is traded
Needs a red follow-up candle for confirmation; stop above the candle's high.
Where & when, plus the limits
Only bearish after an uptrend. A weak signal without confirmation. Many hanging men fizzle out.
Related patterns
Education, not investment advice. Candlestick patterns are hints, not guarantees. They need confirmation and context (trend, levels, volume). Always manage risk with stop-loss and position size.
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