Morning Star, Evening Star Candlestick Pattern Strategy

Discover a candlestick pattern strategy using Morning Star and Evening Star formations for entry signals across various markets and timeframes, including daily

Published · Updated · Methodology: Technical Indicators

Part of: Candlestick Patterns

  • Methodology: Technical Indicators
  • Content type: strategy
  • Timeframes: 1440 (daily), 240 (4-hour), 360 (6-hour), 720 (12-hour)
  • Markets: Futures, 38 different markets

Indicators used

  • Morning Star Candlestick Pattern
  • Evening Star Candlestick Pattern

Source video

Decoded from: MORNING STAR vs. EVENING STAR Candlestick Pattern | WIN EVERY TRADE with this EASY FUTURES STRATEGY by Algo Trading With Kevin Davey — watch the original

Key timestamps:

  • 0:12 - Introduction to Morning Star/Evening Star doji stars
  • 0:44 - Explanation of Morning Star pattern
  • 0:50 - Explanation of Evening Star pattern
  • 1:00 - Variables for doji percentage and moving average length
  • 1:18 - TradeStation EasyLanguage logic for entries
  • 1:59 - Long entry rule
  • 2:10 - Short entry rule
  • 2:49 - Backtesting parameters (length and percentage values)
  • 3:18 - Backtesting results (markets and timeframes)

Strategy overview

The morning star and evening star are three-candle reversal patterns — a strong candle, a small indecisive one, then a strong candle in the opposite direction — with the morning star marking a potential bottom and the evening star as its bearish mirror. What separates this entry from the usual chart-reading tutorial is who is presenting it: Kevin Davey is a systematic futures trader and algorithmic-trading author, and his video treats the two patterns not as shapes to spot by eye but as logic to write down and hand to a machine.

That framing changes which questions matter. A person recognizes the small middle candle of a star instantly; a program needs a number for it — how small a body counts as indecision, and what it is being measured against. The video works through exactly that translation in TradeStation's EasyLanguage, defining each pattern with adjustable variables before arriving at the entry rule itself. It is a short, practical demonstration of the step most candlestick content skips: turning a visual description into something that can be backtested, parameter by parameter.

This strategy is catalogued on higher timeframes — 4-hour through daily — which is where three-candle reversal structures tend to carry the most meaning, since each candle reflects a full session of participation rather than a few minutes of noise. The source video is titled "MORNING STAR vs. EVENING STAR Candlestick Pattern | WIN EVERY TRADE with this EASY FUTURES STRATEGY"; that headline is the video's own framing rather than a measured result, and the reasonable next step with any pattern-based idea is to define it precisely and test it on your own data before deciding what it is worth.

Topics

pine script · trading strategy · candlestick pattern strategy · morning star strategy · evening star strategy · futures trading strategy · daily trading · 4 hour strategy · technical indicators · tradingview strategy · price action · candlestick trading strategy

Frequently asked questions

What is the difference between a morning star and an evening star pattern?

Both are three-candle reversal patterns. A morning star appears after a decline — a strong down candle, a small indecisive candle, then a strong up candle — and points to a possible bottom. An evening star is the mirror image after an advance and points to a possible top.

Why do candlestick patterns need numeric definitions to be traded systematically?

Because terms like "small body" or "doji" are visual judgments, not instructions. To automate a pattern you have to decide how small the middle candle must be and what it is compared against, which is why this video spends its time on variables and code rather than on annotated chart screenshots.

What timeframes is this morning star / evening star strategy set up for?

This entry is catalogued on the 4-hour, 6-hour, 12-hour and daily timeframes — swing-trading horizons rather than intraday scalping, which is the environment where multi-candle reversal structures are most commonly applied.

How can I evaluate a candlestick pattern strategy before trading it?

Write the pattern as explicit rules, backtest it across enough history to see how it behaves in trends and ranges, and compare it against simply holding or a baseline system. Strategy Decoder catalogs the concepts and sources behind strategies like this one so you can build and test your own version on TradingView.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

Strategy Decoder catalogs 2,229 decoded strategies. Each one is extracted with confidence scoring, cross-linked to the indicators it uses, and kept up to date as new videos are processed daily. Load this page with JavaScript enabled to use the interactive tools, or start from the strategy explorer to filter by methodology, market and timeframe.

Other versions of this strategy

More decoded strategies