Shooting Star Candlestick Pattern
Inverted Hammer Bullish Candle Setups
Inverted Hammer Candlestick Pattern & Shooting Star Candlestick Pattern candles look similar. These candlesticks have a long upper shadow & a short body at the bottom. Their colour does't matter. What matters is the point where these candlesticks appear whether at the top of a market trend (star) or bottom of market trend (hammer).
Difference is that inverted hammer is a bullish reversal setup while shooting star candle is a bearish reversal xauusd pattern.
Upwards Trend Reversal - Shooting Star Candles
Downwards Trend Reversal - Inverted Hammer Candles
Inverted Hammer Candlestick Pattern & Shooting Star Candlestick Pattern Chart Patterns
Inverted Hammer Candlestick
This is a bullish reversal candlestick pattern. It occurs at the bottom of a trend.
Inverted hammer occurs at the bottoms of a down trend & indicates possibility of reversal of the downward trend.
Inverted Hammer Candlestick
Technical Analysis of Inverted Hammer Candlestick
A buy is completed when a candlestick closes above neckline, this is opening of the candle on the left side of this setup. The neckline point in this case forms the resistance zone.
Stop orders for the buy trade transactions should be set few pips below the lowest price on the recent low.
An inverted hammer is named so because it demonstrates that the market is hammering a bottom.
Shooting Star Candlestick
This is a bearish reversal candle pattern. It occurs at top of a market trend.
It occurs at the top of an up trend where the open price is same as the low & price then rallied up but was pushed back downward to close near the open.
Shooting Star Candlestick
Technical Analysis of Shooting Star Candle
A sell is completed when a candlestick closes below neckline, this is the opening of candle on left side of this pattern. The neck-line in this case is a support zone.
Stop orders for the sell trade transactions should be set a few pips above highest price in the recent high.
The Shooting Star candle is named so because at the top of an upwards market trend this candle pattern resembles a shooting star up in the sky.
