As of 12/20/2024
Indus: 42,840 +498.02 +1.2%
Trans: 15,892 +32.54 +0.2%
Utils: 986 +14.76 +1.5%
Nasdaq: 19,573 +199.83 +1.0%
S&P 500: 5,931 +63.77 +1.1%
|
YTD
+13.7%
0.0%
+11.9%
+30.4%
+24.3%
|
 44,200 or 41,750 by 01/01/2025 16,100 or 17,700 by 01/01/20251,050 or 975 by 01/01/202520,500 or 19,300 by 01/01/20256,100 or 5,775 by 01/01/2025 |
As of 12/20/2024
Indus: 42,840 +498.02 +1.2%
Trans: 15,892 +32.54 +0.2%
Utils: 986 +14.76 +1.5%
Nasdaq: 19,573 +199.83 +1.0%
S&P 500: 5,931 +63.77 +1.1%
|
YTD
+13.7%
0.0%
+11.9%
+30.4%
+24.3%
| |
|
44,200 or 41,750 by 01/01/202516,100 or 17,700 by 01/01/20251,050 or 975 by 01/01/202520,500 or 19,300 by 01/01/20256,100 or 5,775 by 01/01/2025 | ||
My book,
Encyclopedia of Candlestick Charts
If you click on this link and then buy the book (or anything) at Amazon.com, the referral will help support this site. Thanks. -- Tom Bulkowski
$ $ $
The shooting star candlestick comes in two varieties, a single candle line and a two line candle. This page discusses the one candle line. In an uptrend, a small body candle appears with a tall upper shadow and no lower one (or a very small one). The candle looks like a gravestone doji but it is not a doji because the opening and closing prices are not the same.
The candle looks as if price has reversed direction. Examining the performance statistics confirms that the shooting star acts as a reversal 59% of the time. However, I still consider that "near random" performance. Thus, although price reverses more often than not, do not depend on that happening.
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Theoretical performance: Bearish reversal
Tested performance: Bearish reversal 59% of the time
Frequency rank: 37
Overall performance rank: 55
Best percentage meeting price target: 84% (bear market, down breakout)
Best average move in 10 days: 3.86% (bear market, up breakout)
Best 10-day performance rank: 46 (bull market, up breakout)
All ranks are out of 103 candlestick patterns with the top performer ranking 1. "Best" means the highest rated of the four combinations of bull/bear market, up/down breakouts. The above numbers are based on hundreds of perfect trades. See the glossary for definitions. |
 Shooting Star
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Day traders that I know depend on the shooting star more often than I think they should, but my statistics are based on the daily charts, not intra day ones. I found that the shooting star candle acts as a bearish reversal 59% of the time. I consider that "near random" performance.
The overall performance is a mid list 55, where 1 is best and 103 is worst. The best average move 10 days after the breakout belongs to shooting stars after an upward breakout in a bear market. Price rises an average of 3.86%. I consider moves of 6% or more to be good, so the shooting star falls well short. The numbers suggest that this candle looks better than it performs.
| Characteristic | Discussion |
| Number of candle lines | One. |
| Price trend leading to the pattern | Upward. |
| Configuration | Look for a small bodied candle (but not a doji) with little or no lower shadow and a tall upper shadow at least twice the height of the body. |
If you want a few bones from my Encyclopedia of candlestick charts book, here are three to chew on. The pages refer to the book where the tips appear.
Pictured in the daily chart at A is an example of a shooting star that appears as part of a retrace in a downward price trend. Unfortunately, the downward trend is not a long one, so this is not a perfect example.
Price moves down from the highest peak on the chart, bottoms, and then bounces. A shooting star with a tall upper shadow, no lower one, and a small body appears. The shooting star signals a change in momentum from up to down with the bulls forcing price to a peak but the bears battling back so that price closes near where it opens. The next day, and in the coming days, price moves lower.
This is an example of how a shooting star is supposed to work. With the close near the low, it should not take much for price to breakout downward (a close below the bottom of the candlestick) and yet it does so only 59% of the time.
-- Thomas Bulkowski
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