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Candlestick Patterns

Morning & Evening Star

Overview

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.

Key Concepts

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

Entry Signals

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

Exit Signals

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

Best Timeframes

4H, Daily, Weekly

Pro Tips

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.