How to trade SHOOTING STAR?
Trend: Bullish or consolidation
Information: Indicates a possible price reverse
Timeframe: From 1D
Shape: It looks like an inverted hammer pattern, only the difference is that the “Hammer” and “Inverted Hammer” are upward price reverse, while the “Shooting Star” is a downward price reverse pattern
Candles: The figure has a long shadow at the top and a small or no shadow at the bottom
Bullish and bearish shooting star: A bullish shooting star is not as effective as a bearish shooting star
Additional confirmation: If the price of the next candlestick closes below the high price of the shooting star, this confirms a price reverse to the downtrend
Resistance level: A shooting star can create a local level of resistance after bouncing from it