The Hammer is a single day pattern. This occurs when the price of the asset being traded  goes down significantly lower than the opening price and then bounces back on the same day to close near the opening price.

Hammer Candlestick has a small real body and long lower shadow. Usually Lower shadow is at least twice the size of the real body. 

Hammer candlestick is considered as a bullish reversal pattern.

Psychology of Hammer pattern is that market is in a downtrend and 

On the market day  open bears start selling resulting in price decline.During the day, bulls  take over control and push prices back towards the start of the day price. The closing price can be above or below the open, although the close should be near the open in order for the real body to remain small. After hammer, traders have to get confirmation of  asset price movement upwards. 

Where Doji indicates price reversal or trend continuation, hammer signals a potential upside reversal.

Practice Hammer – Beginner

Practice Hammer – Intermediate

In order to study how the price of a traded security moves, a trader needs some sort of way to look at its historical and current price behavior.A  price chart is usually a preferred first tool that most of the traders use for technical analysis 
A chart is simply a visual representation of a traded security’s price over a set period of time.

On the chart, the y-axis (vertical axis) represents the price scale and the x-axis(horizontal axis) represents the time scale. Prices are plotted from left to right across the x-axis.

A chart aggregates every buy and sell transaction of that financial instrument (in our case, currency pairs) at any given moment. A price chart depicts changes in supply and demand.

Below are the some of the most popular types of Price Charts

1. Line chart 
2. Bar chart
3. Candlestick chart

Charts are useful  because they make it easier for us to present securities being traded in a visual and organized manner.
Charts blend all activity from the millions of market participants of all types and it doesn’t matter  whether they’re humans or machines!

Practice Charts & Types – Beginner

Practice Charts & Types – Intermediate

A market is a place where two parties can gather to facilitate the exchange of goods and services. 
Financial market refers to any place where securities , derivatives , commodities, currencies are traded between two parties.
Examples of securities are shares, bonds, options, mutual  funds, ETF’s, Debt.
There are primarily two types of markets. Capital Markets and Money Markets. These markets act as a source of raising finance for businesses.Capital markets are used for long term financing and Money markets for short term financing. 
Stocks, Bonds, Derivatives, commodities are examples of capital markets. Assets like Treasury Bills, Certificates of deposits from banks, Commercial papers from corporations fall under money markets. 

Some of the most popular types of financial markets  are :
Stock Market 
Over-the-Counter Market
Bond Market
Money Market
Derivatives Market
Forex Market
Commodities Market
Cryptocurrency Market
Futures Market

All of these markets can be either physical or virtual.

Practice Financial Markets – Beginner

The Bearish Engulfing  pattern is a two day trend reversal pattern.It  has one bullish candlestick and a bearish candlestick.
First day is a bullish candlestick and it can be a doji. It basically has a small real body.
Second day is a bearish candlestick with a large real body and is taller than the first day’s candle.
The open and high of the second day should be greater in price than the first day’s close and the second day’s close and low should be less than the first day’s opening price.

After an uptrend, a small bullish candle appears showing that bulls are unable to push prices much higher as they have been able to do previously. As a reminder, a small bullish candlestick shows bulls having less power compared to large bullish candlestick which shows bears having more power. Similarly, a large bearish candlestick that appears after an uptrend shows that bears are able to come back into the market and the bulls were unable or unwilling to stop this bearish assault. The longer the bearish candlestick is, the more powerful the bears were.

Psychology of this pattern is that the market  is in uptrend and bulls are in control until the first day. On the second day bears completely rejected bulls and pulled the price down which resulted in the change of trend from bullish to bearish i.e trend reversal. 

Practice Bearish Engulfing – Beginner