📚 Lesson Eleven: … The spark that precedes the drop! ⭐📉 The deadly shooting star
In the world of Japanese candlesticks, there are some signals that suddenly appear at peaks as if to say: "Prepare... the storm is coming." One of the most prominent of these signals is the shooting star.
🔍 What is a shooting star?
The shooting star candle is a bearish reversal pattern, often appearing after a strong uptrend, indicating weakness in buyers and the beginning of sellers entering.
Its characteristics:
Long upper shadow (longer than twice the size of the body).
Small body at the bottom (bullish or bearish).
Short or nonexistent lower shadow.
Appears at peaks or near strong resistance areas
💡 The difference between it and the inverted hammer
We previously explained the inverted hammer in an earlier lesson, but the context is the big difference.
Element/ Inverted hammer / Shooting star
Location/ After a downtrend/ After an uptrend
Signal/ Possibility of rise/ Possibility of drop
Story/ Buyers are trying to reverse the drop/ Sellers stop the rise
📈 How do you read it?
When a shooting star candle appears, it means that the price tried to rise strongly during the session, but sellers took control and closed the price close to the low.
This movement reflects a loss of buying momentum and the approach of a bearish reversal.
🛡️ Professional tips
1. Do not rely on it alone, wait for confirmation of a drop in the next candle.
2. It's better to come at a significant resistance or after a buying saturation (high RSI).
3. If it appears on larger time frames (daily or 4 hours), it carries a stronger indication.
📌 Example from the market
It rises strongly, then at a resistance level a shooting star appears with a long upper shadow, followed by a large red candle… This is often the beginning of a correction wave.
🎯 Summary
Inverted hammer: After a drop → possibility of rise.
Shooting Star: After a rise → possibility of a drop.
The shape may be similar, but the previous trend is key to understanding the message.
For those who missed the previous lessons, they are very important. Thank you for your support, regards 😉
#الشموع_اليابانية #شمعة_الشهاب #Technical_Analysis #تداول #العملات_الرقمية #BinanceSquare #BinanceSquareOfficial