whack them with a hammer and drive the prices back up around the prior levels. What follows after a hammer is generally bullish price movements. Albeit, hammers like most things in life are not always 100% accurate and is best to combine with your other observations. If the hammer fails to signal the bulls a stop should be placed if prices drop below the lowest price of the hammer candle. Then next time you are wondering if a stock is done being attacked by bears, bring a hammer.