Cryptorua

Hanging Man

BearishReversal1 candleReliability:

Shaped like a hammer but appears at the top of an uptrend — a bearish reversal warning.

Description

After a rally, a small-bodied candle with a long lower shadow shows significant selling appeared intraday.

Market psychology

Sellers pressed price hard for the first time; even though price recovered, their presence warns the uptrend is weakening.

How to trade

Wait for a bearish confirmation candle, then consider selling / taking profit; stop-loss above the candle's high.

Confirmation

The next bearish candle closes below the Hanging Man's body.

Also known as: Hanging Man
Educational content only — not financial advice. Cryptorua reads public market data and never places orders.