Candlestick Patterns→ Pattern Detail

Hanging Man

A bearish reversal candle with long lower wick at resistance

A hanging man has the same shape as a hammer but appears at resistance after an uptrend. The long lower wick shows selling pressure - despite buyers recovering, the selling attempt warns of potential reversal.

How to Recognize

  • Same shape as hammer (small body, long lower wick)
  • Appears at resistance after advance
  • Shows selling pressure emerging
  • Color of body less important than location

How to Avoid

  • Don't buy hanging man at resistance
  • Wait for bearish confirmation
  • More significant at key resistance
  • Volume spike adds validity