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THREETREND RESEARCH

7th Mar · SEBI-Registered Analyst

IRCON
The evening star pattern is a three-candlestick bearish reversal pattern that typically appears at the top of an uptrend and signals a potential trend reversal. The pattern begins with a strong bullish candle showing continued buying momentum, followed by a small-bodied candle (which may be bullish or bearish) indicating indecision in the market, and finally a large bearish candle that closes well into the body of the first candle. This formation shows that buyers are losing control and sellers are stepping in with strong pressure, which often leads to a downward move in the stock price, especially when it forms near a resistance zone

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