SUNDAY HOMEWORK ASSIGNMENT:

THIS IS VERY IMPORTANT! THIS IS ONE OF THE BIGGEST MISTAKES I SEE PEOPLE MAKE IN MY COMMENTS (making a mistake is not a problem at all, but I want to share why it is a mistake and how to fix it)! THIS IS A MUST READ FOR YOU TO CHANGE HOW YOU LOOK AT CANDLESTICK PATTERNS INTO 2025!

If you are using candlestick patterns in your analysis to make decisions, make sure you are fully understanding that a candlestick pattern is a function of both TREND and PATTERN. On top of this, EVERY candlestick pattern needs confirmation before it actually is a actionable pattern and every one has a point where it invalidates the bullish or bearish sentiment. REMEMBER, TREND IS A FUNCTION OF TIMEFRAME. YOU CAN HAVE THE SAME TICKER BE IN DIFFERENT TRENDS BASED ON THE TIMEFRAME YOU ARE LOOKING AT (I.e. Uptrend on the monthly candle and downtrend on the 65-minute candle). 

A couple of examples w/ images below (THIS IS APPLICABLE ON ANY TIMEFRAME): 

Hammer (Technically Bullish): Needs to be at the bottom of a downtrend for it to be an actual hammer candle w/ the wick of the hammer being the low of the downtrend. 
Confirmation: Need a candle close above the high of the hammer candle to confirm the bullish signal. 
Invalidation: A candle close below the low of the hammer candle would invalidate the bullish signal. 

Hanging man (Technically Bearish): This is literally the same candle as a hammer but it happens at the top of an uptrend w/ the open or high of the candle at the top of an uptrend. 
Confirmation: Need a candle close below the low of the hanging man candle to confirm the bearish signal. 
Invalidation: A candle close above the high of the hanging man candle would invalidate the bearish signal. 

Shooting star (Technically Bearish): An upside down hammer. Needs to be at the top of an uptrend for it to be a considered a shooting star w/ the wick being the high of the uptrend. 
Confirmation: Need a candle close below the low of the shooting star candle to confirm the bearish signal. 
Invalidation: A candle close above the the high of the shooting star would invalidate the bearish signal. 

Inverted Hammer (Technically Bullish): This is literally the same candle as a shooting star but it happens at the bottom of a downtrend with the low of the inverted hammer at the bottom of the trend. 
Confirmation: Need a candle close above the high of the inverted hammer to confirm the bullish signal. 
Invalidation: A candle close below the low of the inverted hammer would invalidate the bullish signal.