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hammer has appeared at the end of downtrend.
open=591,high=596.8,low=580,close=589.5
it indicates a long trade.a risk averse trader should wait for the next day price(current price shows a positive sign)to decide whether he can go long.the low of the hammer acts as the stop loss for the trader who decides to buy
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Hi sir,
For hanging man the lower tail should be small and for hammer the upper tail should be small with significantly higher volume.