Trading Hammers (revisited)

Discussion in 'Technical Analysis' started by NihabaAshi, Jul 26, 2005.

  1. I appreciate your detailed reply. I will definitely enjoy following this thread. Thanks.
     
    #41     Aug 1, 2005
  2. August 2nd Tuesday,

    CME Emini - ER2

    Bearish Dark Inverted Hammer

    Sometimes this candlestick pattern can be misinterpreted as a Dark Shooting Star.

    In addition, there's more diversity within the Dark Inverted Hammer and probably is the reason why it can be misinterpreted as a Dark Shooting Star.

    NihabaAshi
     
    #42     Aug 2, 2005
  3. Thanks for posting that last chart...caught that one in real time today, but it's good to have you confirm I got it right.
     
    #43     Aug 2, 2005
  4. What about this one, which showed also showed up today on the ER2? Nice volume, sitting atop support, etc.

    Even though the body was equal to the upper shadow, as opposed to larger, would you have considered that acceptable in real time in light of the rest of the setup?
     
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    #44     Aug 2, 2005
  5. Hi Jason,

    I know some that trade that particular type of price action.

    However, I don't think they trade it because of the Hammer-like action...

    I think they trade it because of the price action involving the long lower shadow.

    As for myself...it doesn't pass my specific rules as a Hammer pattern.

    NihabaAshi
     
    #45     Aug 2, 2005
  6. Is this a hammer ?
    And if so did it work?

    I mean the one 09.30


    Regards
     
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    #46     Aug 3, 2005
  7. Can you post the chart again and draw an arrow to what your talking about.

    There are different types of Hammer and I don't know which one your talking about.

    Thanks.

    NihabaAshi
     
    #47     Aug 3, 2005
  8. Not an nice arrow but the best i can do, hopes it helps. I mena the one 09.30


    Regards
     
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    #48     Aug 3, 2005
  9. No...that is not a valid trade signal.

    The lower shadow must be greater than the candlestick body.

    In your 10min chart of ES on July 6th Wednesday...

    The body and lower shadow are equal or 0.75 each.

    Once again...this is my personal criteria and such may be different from what you see used by other traders or seen in some candlestick books.

    NihabaAshi
     
    #49     Aug 3, 2005
  10. Euronext Futures - CAC40

    Bearish Dark Inverted Hammer

    NihabaAshi
     
    #50     Aug 3, 2005