Evening Star Pattern: the three-bar top reversal explained

The mirror of the morning star at the top of a move, and why the same rules about the middle bar and confirmation apply in reverse.

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What it measures

An evening star is three bars: a large up bar, a small-bodied bar showing indecision, and a large down bar closing back into the first bar’s body.

It measures the same three-bar round trip as a morning star, in the opposite direction.

How it is calculated

These are the steps Basis performs, verified against the published definition.

  1. 1

    Bar one: a large up bar, continuing an advance.

  2. 2

    Bar two: a small body, ideally separated from bar one, showing buying has stalled.

  3. 3

    Bar three: a large down bar closing at or below the midpoint of bar one’s body.

How to read it

  • The middle bar is where the reversal actually begins; the third bar confirms it.
  • A third bar that closes deep into the first bar’s body describes a stronger reversal than one that barely qualifies.

Where it misleads

By the time all three bars are complete, price has already fallen meaningfully from the high — the pattern confirms a top after the fact more reliably than it calls one in advance.

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Updated 2026-08-27 · Educational reference, not financial advice.