The hammer line is a long shadow line, but the entity is small. In its all-day price range, the entity is near the top and appears in the downtrend K line. This is a signal that the downward trend is coming to an end.

Hammer series has three characteristics:

1, positive line or negative line (preferably positive line), with long shadow line, the shadow line length is more than 2 times that of the entity.

2. Appear in the bottom range of continuous decline or shock after decline.

3. It is best for the K line to have no shadow line (there may be another shadow line, but the shadow line is too short to be ignored).

Operation strategy of hammer line and hanging line;

1, first of all, it is necessary to judge whether it is reliable or not. It can be analyzed according to the above morphological characteristics, and it is also necessary to see whether the trend matches the reversal of the next day. Don't blindly establish a heavy position to enter the market, you can try a light position (such as110 below) and pay attention to setting a stop loss position.

2. The establishment of the bearish signal of the hanging line should also carefully consider whether it is at the top of the market or a relay indicator. If the gap between the hanging entity and the opening price of the next day is larger, the possibility of forming the top of the market is greater. After receiving the hanging line, it is a big yinxian line, which further verifies the hanging line and investors can gradually establish short positions.