K Line Knowledge Sharing D3: K Line Bullish Combination - Morning Star. #K线

"The night is about to pass, and a beautiful day is about to begin." The appearance of the Morning Star indicates that the currency price will usher in a wave of rising行情. What kind of K line combination is the Morning Star? As shown in Figure 1:

🌞 A standard Morning Star consists of three K lines.

🌞 First is a larger bearish candle, followed closely by a star line similar to a doji, and the third K line is a larger bullish candle.

🌞 The validity of the Morning Star has clear requirements for the length of the third bullish candle: its closing price must be higher than 50% of the first bearish candle's body.

🌞 Once the Morning Star is confirmed valid, we can also judge the strength of the bullish momentum based on the closing price of the third bullish candle:

⭐ In Figure A, if the closing price of the subsequent bullish candle just exceeds the 50% threshold of the first bearish candle's body, then the bullish momentum is relatively weak;

⭐ In Figure B, if the closing price of the subsequent bullish candle is the same as the opening price of the first bearish candle, then we can consider the subsequent bullish momentum to be strong;

⭐ In Figure B, if the closing price of the subsequent bullish candle exceeds the opening price of the first bearish candle, then the bullish momentum is even stronger.

However, in actual market trends, the real Morning Star may have some variations. Figure 2 contains three types of irregular Morning Star combinations, helping us not to be confined to the standard and make accurate judgments:

🌞 In the first K line chart, the Morning Star does not have a doji in the middle but looks more like a T-shaped line. When this Morning Star appears during an overall downward trend in currency price, it indicates that there is support below, and the market is likely to stop falling and rebound.

🌞 In the second K line chart, the Morning Star combination has two small K lines in the middle. When the overall currency price is in an upward trend but encounters a bearish dip, and then this Morning Star appears, it indicates that the currency price is likely to continue rising.

🌞 In the third K line chart, the Morning Star consists of three small K lines or star lines in the middle. When the currency price has a significant decline and the Morning Star appears, the currency price then stops falling and reverses.