There are literally so many different types of candlestick patterns out there in the market. This week however I wanted to highlight and spotlight the Shooting Star Candle. Defined by its look and character being like a literal shooting star, this particular candle is a nice price action candle to see at highs in the market.
Of course, you want also to confirm with good resistance or something similar ( Fibonacci, etc. )
Candle Type : Bearish
First of all I wanted say that the shooting star candle is a type of bearish Pin Bar. What makes it a shooting star however is that the open, low and close are all close together in its formation. Some traders like to say that there needs to be no little wick below and some others say otherwise.
It is a little bit left up to interpretation that one overall like all other candlesticks, however sometimes it is a little bit easier to just to say ‘Bearish Pin Bar’.
In the video above I Identify a few Shooting Star Candle formations on the chart. I also give my interpretation of its formation.