Smart Money Concepts

Hammer / Inverted Hammer

Definition

Bullish reversal candlestick patterns. A hammer has a small body and long lower wick at the bottom of a downtrend. An inverted hammer has a long upper wick.

Example

A hammer candle at the 200 EMA support after a 5-day decline signaled the start of a bullish reversal.

Explore More

Learn Trading with SignalPro

518 trading terms, 311 lessons, and AI-powered signals — all free to start.

Download Free