SHOOTING STAR CANNDLESTICK:-
DEFINITION:-
1.The open and close are near each other (small real body).
2.There is a long upper shadow that must be at least twice the length of the real body. (Three times or more is better).
3.The open must be at the low or should have only a short lower shadow (see the right column in the previous diagram in this section).
4.Although the close is greater than the open (and The Umbrell a Group therefore coloured white), colour is insignificant.
5.Its significance stems from its long shadow.
Interpretation: Bearish signal.
HOW TO TRADE:-
1. An uptrend must be in progress.
2. The open and close have a very tight range (small real body).
3. The upper shadow must be at least twice the length of the real body (three times or more is better).
4.It should have no, or a very short, lower shadow.
5. Colour is unimportant. 6. The sharper the prior rally, the higher is the probability of a market top.
EXAMPLE CHARTS:-
example in real chart:-
Shootiing star forms in a third touch of the trendline ,after market falls.
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