A Morning Star shown in daily chart of VITA. Our reading on our weekly chart we were just waiting for a good reversal sign for VITA to move up. Is the Shooting Star far enough that we are now ready for a reversal? Price of VITA touched the 61.8% Fibonacci Retracement level and today it went up. Start of the big bounce?
What does a Morning Star tells us?
A Morning Star is a 3-candlestick formation that signals a bottom. It is composed of a long red body, a second small real body, green or red. The a third candlestick which is white that closes well into the first session’s red real body. Third candlestick shows that the market turned bullish now.
The reliability of this pattern is very high, but still a confirmation in the form of a green candlestick with a higher close or a gap-up is suggested.