Pin bar on top

A pin bar on top is a bearish reversal candlestick pattern that typically forms after an uptrend, signaling potential weakness in buying pressure. It is characterized by a small body near the lower end of the candle and a long upper shadow (wick), showing that buyers pushed the price higher but were strongly rejected by sellers, causing the candle to close near its open or low. This rejection of higher prices reflects supply overcoming demand, and when it appears at a resistance zone or after a sharp rally, it often indicates the possibility of a downward reversal.