Shooting Star and Inverted Hammer

The shooting star forms after an advance: small body near the low of the candle, long upper wick, little lower wick. Buyers pushed price up but sellers overwhelmed them by the close — rejection from higher prices.

The inverted hammer mirrors the shape after a decline. It suggests buyers tested higher but were pushed back — yet the attempt may foreshadow a reversal if confirmed. Alone it is weaker than a hammer because rejection of highs within a down move is less decisive.

Shooting stars at resistance, prior swing highs, or HTF supply zones are prime manual short setup candidates when confirmed. Inverted hammers at support can set up longs with confirmation above the high.

Combine with prior trend: shooting star after three strong green candles into resistance is textbook. Shooting star in a bull flag mid-trend may only be a pause.

Stop placement: above shooting star high for shorts; below inverted hammer low for longs until confirmation shifts structure.