Thursday, December 3, 2015

Term of the Day: Hammer

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December 3, 2015
Hammer

A price pattern in candlestick charting that occurs when a security trades significantly lower than its opening, but rallies later in the day to close either above or close to its opening price. This pattern forms a hammer-shaped candlestick.

Breaking It Down:

A hammer occurs after a security has been declining, possibly suggesting the market is attempting to...

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