๐ Candlestick Pattern: Morning Star ๐
The Morning Star is a bullish reversal pattern that signals the end of a downtrend and the beginning of an uptrend. It typically forms after sustained selling pressure and consists of three candles:
1๏ธโฃ First Candle โ A long bearish candle showing strong selling pressure.
2๏ธโฃ Second Candle โ A small candle (can be bullish or bearish) that indicates indecision. This creates a gap down, suggesting sellers are losing momentum.
3๏ธโฃ Third Candle โ A long bullish candle that closes well into the body of the first candle, confirming the buyers have taken control.
๐ก Key Insights:
Stronger when formed at the bottom of a downtrend.
Volume rising on the third candle adds more reliability.
Often seen as a sign of trend reversal from bearish to bullish.
๐ Traders often use the Morning Star to spot potential entry points for long positions.
