The Hanging Man candlestick pattern is a bearish reversal pattern that indicates the potential end of an uptrend. The pattern is formed when a small real body is located near the top of a trading range, with a long lower shadow. This suggests that buyers were able to push the price up, but sellers ultimately took control and pushed the price back down, creating the long lower shadow. Traders often watch for the Hanging Man pattern as a sign of a potential trend reversal and may enter short positions in response. It's important to note that the pattern is more significant if it occurs after an uptrend and on a higher volume.

The Hanging Man is a candlestick pattern in technical analysis, often signaling a potential reversal in a financial market's trend. It typically appears after an uptrend and is characterized by a small body with a long lower shadow, resembling an inverted T or a hanging man. The pattern suggests that despite an initial push upward, sellers gained control, leading to a potential trend reversal. Traders use the Hanging Man as a cautionary signal to assess whether the bullish momentum is weakening. Confirmation through subsequent price action is crucial for decision-making, as the pattern alone may not guarantee a trend reversal.