Spinning Top

A spinning top has a small real body centered between upper and lower wicks of similar length. Neither buyers nor sellers achieved a decisive close. It is a pause candle — the market catching its breath.

After a long bullish run, a spinning top near resistance hints at slowing momentum but does not confirm reversal. After a bearish leg into support, it hints at slowing selling. In a range, spinning tops are common and low value.

Manual traders treat spinning tops as 'yellow lights,' not red or green. Reduce urgency to add positions in the trend direction until a clearer signal (engulfing, break, or structure shift) appears.

Clusters of spinning tops show compression — volatility contraction that may precede expansion. Note the range high and low of the cluster; the breakout direction often sets the next short-term move.

Do not confuse spinning tops with dojis. Both show indecision, but spinning tops have slightly more visible bodies and balanced wicks. Interpretation is similar: context and confirmation rule.