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Technical Analysis · Bearish Reversal

Evening Star

An Evening Star is a three-candle bearish reversal pattern: a long bullish candle, a small-bodied candle that gaps higher, and a long bearish candle that closes well into the first candle's body.

Bullish candle Bearish candle Highlighted = the pattern itself
Category
Bearish Reversal
Signal
Sell
Reliability
Candles Involved
3
What does it signal?

The mirror image of a Morning Star — strong buying, a pause where buyers lose control, then sellers taking over decisively, making it one of the more dependable top-reversal setups.

How to identify a Evening Star
  • Candle 1: long bullish candle continuing the uptrend.
  • Candle 2: small body (the 'star'), gapping up from candle 1 — shows indecision.
  • Candle 3: long bearish candle closing below the midpoint of candle 1's body.
How to trade a Evening Star
  • Entry is commonly taken on the close of the third candle or on a pullback afterward.
  • Stop-loss is typically placed above the high of the star (middle) candle.

Educational only — not financial advice. Combine any candlestick pattern with broader market context, risk management, and your own trading plan.

FAQ

Common questions

It's a three-candle bearish reversal formation — bullish candle, small indecision candle, then a strong bearish candle — signaling an uptrend is likely ending.

Related

More Bearish Reversal patterns