A single candlestick in combination with other factors can indicate that the trend reversal is about to take place.

'Trend reversal' is the change in the direction of the trend following a period of trading in this direction. The trend may go in the opposite direction or flatten out and start moving sidewise.

Doji

Meaning
A doji is a powerful trend reversal signal. It can appear at the end of a bullish trend as well as at the end of a bearish trend.

How to recognize it
Doji have long wicks and the body is either missing as the opening and the closing price are the same. Doji come in different forms, but they all mean the same thing.

Explanation
For a trend to exist you need the prevalence of either bulls of bears - and the fact that there is an agreement on the price signifies that the trend is dying.

Spinning top

Meaning
A spinning top is a trend reversal signal. It can appear at the end of a bullish trend as well as at the end of a bearish trend. Spinning tops have small bodies and are similar to Doji, but since the bulls and bears are not in complete agreement, it is a less powerful signal.

Hammer

Meaning
The hammer is an indication of a likely end of a bearish trend and the reversal into a bullish trend.

How to recognize it
Hammers have small bodies, which can be either white or black, a long bottom wick, and no (or a tiny) top wick.

Significant factors
The color of the hammer significant: white body amplifies the strength of the bullish signal. Also important is the gap between the hammer and the previous candle - a bigger gap means a stronger bullish signal.

Confirmation
For a safer trade you may want to wait for the confirmation of the signal before you act on it. The trend-reversal is confirmed if the following candle falls entirely above the hammer. A bigger gap between the hammer and the next candle means a greater confirmation.

Explanation
As the price opens below the pervious close, it appears that the trend will continue, and the price quickly falls down. However, the number of buyers becomes greater than the number of sellers as the buyers start to view the stock as underpriced. The price starts to climb up as the downward trend can no longer be sustained.

Inverted hammer

Meaning
The inverted hammer is a bullish signal and an indication of a likely end of a bearish trend. Both hammers and inverted hammers give the same signals. However, a hammer represents a significantly stronger signal, so it is wise to wait for a confirmation before acting on it.

How to recognize it
Inverted hammers have small bodies, which can be either white or black, a long top wick, and no (or a tiny) bottom wick.

Shooting star

Meaning
The shooting star is an indication of a likely end of a bullish trend and the reversal into a bearish trend. It is an exact opposite of the hammer.

How to recognize it
Shooting stars have small bodies, which can be either white or black, a long top wick, and no (or a tiny) bottom wick.

Significant factors
The color of the shooting star is significant: black body amplifies the strength of the bearish signal. Also important is the gap between the shooting star and the previous candle - a bigger gap means a stronger bearish signal.

Confirmation
For a safer trade you may want to wait for the confirmation of the signal before you act on it. The trend-reversal is confirmed if the following candle does not touch the shooting star. A bigger gap between the shooting star and the next candle means a greater confirmation.

Explanation
As the price opens above the pervious close, it appears that the trend will continue, and the price quickly climbs up. However, the number of sellers becomes greater than the number of buyers and the profit-taking gains strength, and the price falls down - the trend can no longer be sustained.

Hanging man

Meaning
The hanging is a bearish signal and an indication of a likely end of a bullish trend. Both shooting stars and hanging men give the same signals. However, a shooting star represents a significantly stronger signal, so it is wise to wait for a confirmation before acting on a hanging man candle.

How to recognize it
Hanging men have small bodies, which can be either white or black, a long bottom wick, and no (or a tiny) top wick.

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