The morning star is a three-candle bullish reversal: a large bearish candle, a small body candle (the star) that gaps down, and a large bullish candle that closes well into the first candle's body. The evening star is the bearish mirror. These are among the strongest candlestick reversal patterns.
Three-candle formation, Gap between candles 1-2 and 2-3 (gaps may not appear in forex/crypto 24h markets), Star candle shows indecision, Third candle confirms reversal
Morning star at significant support / weekly demand zone, Evening star at resistance / supply zone, Third candle closes beyond midpoint of first candle's body, Volume increases on the third candle
Stop below morning star's lowest point / above evening star's highest point, Target the start of the prior trend move, Use Fibonacci extensions for profit targets
4H, Daily, Weekly
In 24-hour markets like crypto and forex where true gaps are rare, look for 'quasi-gaps' where the star candle opens near the prior candle's close but creates a visible separation.
A marubozu is a candle with no wicks (or very small wicks) — the open and close are at the extreme ends. A bullish marubozu opens at low, closes at high. A bearish marubozu opens at high, closes at low. Marubozus represent maximum conviction and can signal the start of a strong momentum move.
The kicker pattern is one of the most powerful two-candle reversal signals in candlestick analysis. It forms when the second candle opens at or beyond the open of the prior candle and moves aggressively in the opposite direction, effectively 'kicking' away from the previous sentiment. Kickers often occur after overnight news events or fundamental catalysts that cause an abrupt sentiment shift.
An inside bar is a candle completely contained within the range (high to low) of the previous candle. It represents a contraction of volatility and indecision. Inside bars are used as breakout setups — traders wait for price to break above or below the inside bar's range (or the 'mother bar' range) to enter.
A harami (Japanese for 'pregnant') is a two-candle pattern where a small candle is completely contained within the prior candle's body. A bullish harami appears in downtrends; a bearish harami in uptrends. Haramis signal fading momentum but require confirmation before trading.