technical

Hanging Man

A Hanging Man is a single-candle candlestick pattern that forms after an uptrend, characterized by a small real body near the top of the candle and a long lower shadow; it is interpreted as a potential turning point in the price trend.

Example: On the daily chart of a stock that has risen for several days, a Hanging Man candle appears; traders then monitor the next session for evidence of a shift in price action.

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