What is (A Star)????

Forexgen presents “A Star” appears when a small body gaps ABOVE the previous day's long body. Stars are part of more complicated candlestick patterns, especially the reversal patterns. A Rain Drop appears when a small body gaps BELOW the previous day's long body. Rain Drops are part of the more complicated patterns, especially the reversal patterns. The Paper Umbrella appears when a small body comes with a long lower shadow. The Paper Umbrella is a strong reversal sign.

Hammer is a potentially bullish pattern which occurs during a downtrend. It is named because the market is hammering out a bottom. Recognition Criteria:

• The long lower shadow is about two to three times of the real body.
• Little or no upper shadow.
• The real body is at the upper end of the trading range.
The color of the real body is not important. (Confirmation is suggested.)