![]() Some of the filters that I use to qualify a good shooting star make taking the entry completely different than the standard method. What Makes a Good Shooting Star (Pinbar) Pattern? However, the proprietary filters that I personally use to qualify a good shooting star are quite different, so let’s go over those now. Note: Never trade a candlestick formation that looks like a shooting star from consolidating price action or a tight ranging market.Ī shooting star candlestick pattern is a strong reversal signal, and unlike most other price action signals, this one does not need another candle for confirmation, according to the standard trading technique. In other words, a true shooting star candlestick signal can only come after an uptrend in price (see the image above). The shooting star candlestick pattern, like all the other candlestick entry signals, must be traded within the context of the market. Its real body can be bearish or bullish (see the image below) and is usually relatively small in comparison to previous candlesticks. It should have a relatively small lower wick or none at all. The shooting star consists of a long upper wick (shadow) that is, at least, twice the size of the real body. What is a Shooting Star Candlestick Pattern? Just in case you’re completely new to the shooting star candlestick signal, we’ll start with the basics. In this article, I’m going to show you how to correctly identify and trade the shooting star candlestick pattern, with both my own proprietary techniques and the standard pinbar techniques. The examples used in this article are geared toward the Forex market, but trading the shooting star is effective in any market. However, once you know the techniques that I use to trade the bearish engulfing pattern and the shooting star, you can apply these two different methods to all of the other patterns that I’ve written about. I specifically chose to update the shooting star pattern next, because the proprietary filters and entry that I use are different than most other patterns that I trade. I started with my favorite price action signal, the bearish engulfing pattern. Second, I plan to eventually update my entire free price action course. I wanted to update this article for a couple of reasons.įirst, I wanted to explain the proprietary techniques that I’ve been using to trade this price action signal for the past few years, while still including the basic, standard shooting star techniques for those who aren’t interested in trading it the way I personally do. I originally wrote this article back in 2012, and the method that I use to trade the shooting star is much different now. It was the first candlestick signal that I relied on, and one that I still use today, although I trade it much differently than most other price action traders. The shooting star candlestick pattern, also known as the pinbar (or bearish pinbar) by some, is one of the most popular candlestick patterns among price action traders.
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