Raymond

The Morning Star pattern is a bullish candlestick reversal pattern that typically signals the end of a downtrend and the start of an uptrend. It consists of three candles: 🔆 Structure of the Morning Star Pattern: First Candle (Large Bearish Candle): A long red (or black) candle indicating strong selling pressure. Shows that bears are in control. Second Candle (Small Body Candle): A small-bodied candle (can be bullish or bearish) that gaps lower from the first candle. This represents indecision or a pause in the downtrend. Often called the "star" because it’s isolated from the other two candles. Third Candle (Large Bullish Candle): A long green (or white) candle that closes well into the body of the first candle. This indicates strong buying pressure, showing that bulls have taken control. Stock chart is an example of Morning star pattern.