Hammer & Hanging Man

The Hammer is a bullish reversal pattern that forms after a decline also hammers can mark bottoms or support levels.

The Hanging Man is a bearish reversal pattern that can also mark a top or resistance level.

Harami Position

A candlestick that forms within the real body of the previous candlestick is in Harami position.

The shadows (high/low) of the second candlestick do not have to be contained within the first, though it's preferable if they are.

Star & Rain drops Position

A Star appears when a small body gaps above the previous day's long body. Stars are part of more complicated candlestick patterns, especially the reversal patterns.

A Rain Drop appears when a small body gaps below the previous day's long body. Rain Drops are part of the more complicated patterns, especially the reversal patterns.