Shooting Star

The shooting star consists of a candlestick with a long top wick, little or no bottom wick, and a small body, ideally near the bottom.

The shooting star is very similar in shape to the inverted hammer, but it’s formed at the end of an uptrend.

This candlestick pattern indicates that the market reached a local high, but then the sellers took control and drove the price back down.

While some traders like to sell or open short positions when a shooting star is formed, others prefer to wait for the next candlesticks to confirm the pattern.