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sellers zones.. So for me, first levels then PA.. Why? Because those levels where the noticeable sellers and buyers lives. However, we don't know how decent they are, so we
wait for the PA to tell us.
Gravestone Doji:
Opposite of Dragon fly doji. The name gives some hints about the possible PA.
Hanging Man:
Bear or Bull candle with small body near the high with a little or no upper shadow but long lower shadow. The lower shadow should be 2 or 3 times of the
height of the body. It's considered bearish pattern
during up-trend, as it indicates that buyers are running out of steam. However, it doesn't mean for sure that buyers lost the
control. It shows momentum decreasing and direction or price may be getting near to change. Just an early possible sign. (
ps/.On the above illustration upper hanging man
lower shadows looks bit short, I was just trying to fit into same size box. My apologies
)
Hammer:
Small body close to high with no or little upper shadow but long lower shadow. A lollipop candle but don's start licking it too early. It's considered as a bullish
candle
pattern during a down-trend. It simply tells us where sellers were in control but buyers were able to take charge and as a result they push the price back up near to open or
above. Keep in mind, it doesn't tell us buyers simply take
total control, but it indicates that buyers getting stronger.. more buyers coming into the market.