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Abandoned Baby
Advance Block
Belt Hold
Breakaway
Dark Cloud Cover
Deliberation
Doji Star
Dragonfly Doji
Downside Gap Three Methods
Downside Tasuki Gap
Engulfing
Evening Doji Star
Evening Star
Falling Three Methods
Gravestone Doji
Hanging Man
Harami
Harami Cross
Identical Three Crows
In Neck
Kicking
Meeting Lines
On Neck
Separating Lines
Shooting Star
Side By Side White Lines
Three Black Crows
Three Inside Down
Three Line Strike
Three Outside Down
Thrusting
Tri Star
Two Crows
Upside Gap Two Crows

Evening Star
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Pattern: reversal
Reliability: high

Identification
A long white day is followed by a small body that gaps in the direction of the trend. The third day is a black day that closes in the bottom half of the white candle.

The Psychology
In an uptrend or within a bounce of a downtrend, the market gaps up but does not continue its upward movement. Instead enough bears step up to bring supply and demand back into equilibrium so a small body forms. A subsequent follow through gap down that closes below the midpoint of the white day completes the pattern and confirms the reversal.

The bearish Evening Star is similar to the bearish Evening Doji Star, bearish Abandoned Baby, bearish Doji Star, bearish Two Crows, and bearish Upside Gap Two Crows.



GFF was in a steady uptrend when it formed an Evening Star pattern at an area that was previously established as possible resistance. Coupled with confirmation from one or two technical indicators, this reversal pattern is very reliable – especially when it forms at a previous high.



JNJ bounced nicely off 49, but the area of the previous reaction highs were too much to overcome and the bearish Evening Star pattern suggested a reversal was likely.


Here is somewhat of a hap-hazard play. AMTD gapped up on big volume and immediately formed a bearish Evening Star pattern, and the stock turned right around and started a steady decline.


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