Morning Star Pattern: Shape, Meaning, and Examples on Crypto Charts
Schematic of the Morning Star shape. What matters is the proportion of body and wicks, not the price figures.
Morning Star pattern shape
- The first candle is down with a large body.
- Candle kedua berbadan kecil, paling banyak separuh badan candle pertama, inilah "bintang"-nya.
- The third candle is up with a large body and closes above the midpoint of the first candle's body.
General meaning
A three-period sequence showing a decline that loses steam and then turns within three candles: a push down, an almost directionless pause, then an up period that recovers most of the decline. Three-candle shapes are rarer and stricter than single-candle patterns.
Where it usually appears
Often appears at the bottom of a decline lasting several periods and around price areas that have repeatedly held declines before.
Worth noting. Full strength is only assigned when the third candle closes above the first candle's open, i.e. the three-period decline is completely erased.
See live detection on the chart
The CryptoHalley chart engine marks Morning Star automatically with id morning_star, no extra indicator needed. Open the chart and browse the labeled candles.
FAQ
- Does the middle candle have to be a doji?
- Not necessarily. The condition is that the middle candle's body is at most half of the first candle's body and no more than half the ATR. A doji meets that condition, but an ordinary small-bodied candle does too.
- Do there need to be price gaps on either side of the star?
- In classic literature those gaps are part of the pattern, but in crypto markets that trade continuously gaps almost never form. CryptoHalley's engine doesn't require them.
- What's the opposite of a morning star?
- The evening star, whose shape is an exact mirror: a big up candle, a small-bodied pause, then a big down candle that closes back inside the first candle's body.