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Last time we talked about candles: red and green. They indicate changes in the price of a specific asset. It helps to understand when and what something has happened to the value. But is it possible to determine when there will be growth while an asset is falling? Yes! All you need to do is pay attention to “the hammer”!
This is a green candle that first appears during what has been a long price decline. It is usually small but with a large shadow. And this is the first sign that the asset will begin to break-out and grow!
How does it appear? Sellers "bears" are pushing the market to lower the price! Before trading has closed, the market situation changes and buyers still receive a "positive" balance. This is not a guarantee that there will be stable growth, but nonetheless you can break the trend after the hammer has appeared
As the asset falls, we wait for the hammer to start buying (if we’re relying on the bull market). But keep a careful watch!...and good luck with trading
