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US stock market · candlestick pattern

Inverted hammer on Alibaba

On Alibaba the inverted hammer showed up 29 times. The target came first 31% of the time, the stop 62%, and 7% went nowhere within 12 candles.

Counted on Alibaba: daily candles from January 2015 and hourly candles from October 2024.

By timeframe

TimeframeFoundTarget firstStop firstWent nowhere
Daily1118%82%0%
Hourly1839%50%11%

Alibaba against the rest

ChartsFoundTarget firstStop firstWent nowhere
Alibaba2931%62%7%
All US stock market charts61143%53%4%
Every market6,73437%55%8%

Year by year

YearFoundTarget firstStop first
202230%100%
2024333%67%
2025862%38%
20261118%64%

The last 8 times

Counted by the Trading Class research engine on real past candles: entry at the signal candle's close, target 1.5 × ATR(14), stop 1 × ATR(14), 12 candles to decide, a candle that touches both counts as the stop. How we count. Past data, not a forecast and not advice.

What the inverted hammer is

After a fall, buyers tried to push up. A first sign of interest.

Imagine a kid who keeps losing a game and finally jumps as high as they can. They land back down, but everyone noticed the jump. An inverted hammer is that jump: after a fall, buyers pushed price up high during the candle, even though it slid back before the close.

The full inverted hammer lesson, video and quiz ›

Other patterns on Alibaba

Inside bar · Gap up · Gap down · Stochastic bullish cross · Stochastic bearish cross · Spinning top · MACD bullish cross · Doji · MACD bearish cross · RSI overbought drop · all of them

The inverted hammer elsewhere

Dow Jones · S&P 500 · Oracle · Microsoft · Intel · Boeing · Amazon · Bank of America · Alphabet (Google) · Netflix · Nikkei 225 · Sony · GBP/USD · EUR/JPY · Ethereum · Bitcoin

Questions

How often does the inverted hammer work on Alibaba?

In 29 cases on Alibaba, the target (1.5 × ATR) came before the stop (1 × ATR) 31% of the time and the stop came first 62%; 7% went nowhere within 12 candles.

What is the inverted hammer?

After a fall, buyers tried to push up. A first sign of interest.