Shooting star candlestick
A shooting star is a single-candle pattern that can signal a bearish reversal when it appears after a sustained . It is identified by a small real body near the bottom of the candle's overall range, combined with a long upper wick that is at least twice the length of the body and little to no lower wick, giving the candle a shape that resembles a star with a trailing tail.
The pattern reflects a specific shift in the balance of power during a single trading session. The opens and initially pushes higher, extending the existing and drawing in buyers, but sellers then take control during the session and push the price back down, so that it closes near where it opened, well below the session's high. That long upper wick shows that buyers tried to extend the rally but were firmly rejected, which is the key detail that separates a shooting star from an ordinary candle.
A shooting star carries more weight as a reversal signal when it forms after a clear, extended , particularly if it appears near a known , and when it is followed by a lower close on the next session confirming that sellers have indeed taken over. On its own, a single shooting star is a caution flag rather than a certainty, and traders typically look for that follow-through confirmation, along with volume and the broader trend context, before treating it as a signal to exit a position or consider a short.