Inverted Hammer Candlestick Pattern: How to Spot It and Trade It Like a Pro

The inverted hammer candlestick pattern is a bullish reversal pattern that can be used to trade the financial markets. It is formed when the price opens at a low, then rises, but closes near the opening price. The long upper wick of the inverted hammer indicates that there was selling pressure, but the bulls were able to overcome it and close the candle near the opening price.