SHOOTING STAR CANDLESTICK PATTERN

           The shooting star candle is the opposite of the hammer candle, which is a bearish reversal candle. Whenever the market is in a state of going up and keeps going up, goes above any supply zone or resistance zone forms a shooting star candle, and starts coming down from the top, then we call it a shooting star candle.

                                                            

               Shooting star candle is also made in two types: 1. with a green candle and 2. with a red candle, in this the red candle is more effective than the green candle, in the shooting star candle the red candle is given more importance.

In Shooting Star Candle, selling starts in that candle and the seller has control over the stock, where the opening, closing, and low price of the stock is near the same, in Shooting Star Candle 15- 20% real body. Which forms the lower side real body and 75-85% of the upper shadow.

                                                         

 

Entry setup in the Shooting Star Candle? And what should be his stop-loss target?

In the above chart, you can see that the nature of the stock was going up and after the formation of the upward shooting star candle, on giving the breakdown below that candle, you will create a position to sell in that stock, shooting star. The high price of the candle will be the stop loss and 1-2% of that stock's downside should be our target.