The Hanging Man (Hanging Man) looks identical to the hammer: a small body at the top, a long lower shadow (2×+), and almost no upper shadow. The key difference is context. The hammer appears at a bottom (bullish), and the Hanging Man appears at the top of an uptrend (bearish). Same shape, opposite meaning.
04
PATTERN ID
SignalBearish ▼
Reliability★★★☆☆
Win Rate55%
Expected move-2–6%
TimeframeDaily / 4 hours
ConfirmationRequired
The short answer
What is a Hanging Man candle?
The Hanging Man (Hanging Man) looks identical to the hammer: a small body at the top, a long lower shadow (2×+), and almost no upper shadow. The key difference is context. The hammer appears at a bottom (bullish), and the Hanging Man appears at the top of an uptrend (bearish).
How do you recognize a Hanging Man candle?
Appears after a sustained uptrend, with a small body in the upper part of the range and a lower shadow 2–3× the body.
Is the Hanging Man candle a bullish or bearish signal?
It belongs to the bearish reversal patterns, is made of a single candle, and confirmation is required. Its reference success rate is 55%. Did it show up in the last session? The list of symbols that formed it on the latest completed daily candle is on this page, and it updates after every close. Which symbols formed it? →
Pattern illustration
The same shape as the Hammer: the bullish context is what makes it bearish
How to identify the pattern
Step-by-step checks
Appears after a sustained uptrend
Small body in the upper part of the range
Lower shadow 2–3× the body
No upper shadow or a very small one
The weakest single-candle bearish signal: it needs strong confirmation
Trading psychology
The power struggle between buyers and sellers
In an uptrend, sellers push price down hard during the session (the long lower shadow), but the bulls win the level back by the close. Even though the bulls technically win, the heavy selling pressure inside the session is a warning that distribution has begun at high levels.
Outlook and confirmation
Entry conditions and expected price move
Needs confirmation in the next session
The weakest single-candle reversal: it must be confirmed by a red bearish candle in the next session. Expect -2–6% over 5–10 days once confirmed. Pairing it with a bearish RSI or with resistance improves confidence.
Ideal setting for the pattern
After a bearish RSI
Typical timeframe: daily / 4 hours
Where to find it on the platform
Hanging Man on the latest completed daily candle
Candle of 13 Oct 2026 · list updated 13 Oct 2026 23:10 UTC
The detector computes the success rate of the "Hammer" shape with no context, which is the same shape as this pattern. The latest-candle list separates the two using the direction of the previous five sessions.
After each session closes, we classify the daily candle of SPY by its shape. When it takes this shape, its name appears there along with its body and shadow ratios.
Shows the daily-timeframe candles for any symbol on the platform's list. You identify the pattern by eye: the terminal does not name it.
How it is traded in practice
The same shape as the hammer, but at the top of a rally: a small body at the top of the range and a long lower shadow. Here the shadow is not a healthy defense but the first sign of heavy selling in a trend that has not seen sellers for weeks. The attack was repelled, yes, but its very existence is the news. Never act on it alone: it needs a later close below its body, and only then might a trader exit or trim with a stop above its high.
Common mistake
Ignoring it because the session closed green: the color of the Hanging Man is secondary. The meaning is in the lower shadow, which showed sellers able to push price deep, even if briefly. The reverse also holds: selling every Hanging Man without confirmation keeps losing, because most of them in strong trends get swallowed and the market keeps rising above them.
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