Spinning Top
A single candle with a small but visible body and wicks of similar length on both sides. Price moved both ways during the candle, but the close stayed near the open. It can show indecision: neither buyers nor sellers took control over that period.
How it forms
- The body is small: roughly 10% to 30% of the candle's full range (from high to low). The candle's colour does not matter.
- The upper wick and the lower wick are both longer than the body.
- The two wicks are similar in length: the shorter one is at least about half the longer one. So the body sits near the middle of the range.
If the body is no more than 10% of the range, the candle counts as a doji. A spinning top has a body larger than a doji's, but still small. If one wick is clearly longer and the body moves to one end, the shape moves towards a hammer or a pin bar.
What it suggests
On its own, a spinning top gives no direction. Both sides tried to push price their way during the candle, but neither held it until the close. The small body shows that the close did not move far from the open.
It is considered a slightly weaker sign of indecision than a doji, because one side did get a little ahead. A spinning top after a strong move may suggest that the move is losing pace. In patterns such as the morning and evening star, the middle candle is often a spinning top.
When it strengthens, when it weakens
Strengthens
- Forming at a support or resistance zone
- A clear, fast move before it
- The wicks sticking out beyond the previous candles' range
- Above-average volume
- Forming on a higher timeframe (4H, 1D)
Weakens
- Forming in the middle of a flat, directionless market
- Many small candles in a row
- The candle being very small compared with those around it
- Low volume
- Forming on very low timeframes (1m, 5m)
The MarketLevelMap view
How it relates to zones
A spinning top at a support or resistance zone shows that the move which carried price to the zone has slowed there. The wicks often reach into the zone: price probed it in both directions, but the close stayed inside it or just at its edge. This can be a hint that the zone is still drawing a reaction.
The spinning top's range can be read as a small decision area at the zone. Whichever side of that range the next candles close on shows more clearly whether the zone held. A close away from the zone suggests it may have been defended; a close on the far side of it suggests it may have been lost.
A spinning top between two zones, away from any level where price might react, is usually an ordinary pause.
When it is invalidated
A spinning top has no direction, so it has no scenario to invalidate. The indecision read stops being relevant once price closes beyond the candle's high or low. The direction of that close belongs to the price action that follows, not to the spinning top.
If price stays inside the spinning top's range for several candles, the single candle's indecision turns into a wider sideways move.
Often confused with
For general information only. Not investment advice.Last updated: