The Morning Star candlestick pattern is a three-candle bullish reversal pattern formed after a downtrend. It starts with a long red candlestick, followed by a small-bodied candle (either red or green) that gaps down from the previous candle. The pattern is completed by a third green candle that closes above the midpoint of the first red candle. The pattern signals a potential trend reversal from bearish to bullish, as buyers have taken control and pushed prices higher. The length and body of the candlesticks can vary, but the pattern is only considered complete when the third candle closes above the midpoint of the first red candle.

The Morning Star candlestick pattern is a bullish reversal signal that typically forms after a downtrend. It consists of three candles. The first candle is a long bearish one, showing strong selling pressure. The second candle is small, often a doji or spinning top, which reflects market indecision as selling slows down. The third candle is a long bullish one that closes well into the body of the first candle, signalling buyers have regained control. This shift from strong selling to hesitation and then buying suggests a potential trend reversal. Traders often use it with other indicators like volume or support levels to confirm the strength of the signal before entering long positions.