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Markets › S&P 500 › Inverted hammer

US stock market · candlestick pattern

Inverted hammer on S&P 500

On S&P 500 the inverted hammer showed up 21 times. The target came first 52% of the time, the stop 48%, and 0% went nowhere within 12 candles.

Counted on S&P 500: daily candles from January 2015 and hourly candles from September 2024.

By timeframe

TimeframeFoundTarget firstStop firstWent nowhere
Daily771%29%0%
Hourly1443%57%0%

S&P 500 against the rest

ChartsFoundTarget firstStop firstWent nowhere
S&P 5002152%48%0%
All US stock market charts61143%53%4%
Every market6,73437%55%8%

Year by year

YearFoundTarget firstStop first
2018333%67%
2025862%38%
202650%100%

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 S&P 500

Inside bar · Stochastic bearish cross · Stochastic bullish cross · MACD bearish cross · Gap up · Spinning top · Gap down · RSI overbought drop · Doji · EMA 9/21 bullish cross · all of them

The inverted hammer elsewhere

Dow Jones · Alibaba · 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 S&P 500?

In 21 cases on S&P 500, the target (1.5 × ATR) came before the stop (1 × ATR) 52% of the time and the stop came first 48%; 0% went nowhere within 12 candles.

What is the inverted hammer?

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