Read the Lines · Candlestick patterns
Spinning Top Candlestick Pattern:
meaning & how to read it on ASX charts.
A spinning top is a candle with a small real body and noticeable upper and lower wicks. It shows that buyers and sellers both moved price during the period, but neither side finished with clear control.
Like a doji, it often describes indecision. Unlike a doji, the open and close are separated enough to form a visible body.
Spinning top · quick answer
What does a spinning top candlestick mean?
A spinning top shows two-way price movement without a decisive close. Buyers pushed price up, sellers pushed it down, and the final close remained relatively near the open.
It is not automatically a reversal pattern. Its importance comes from context: after a strong trend, sudden balance can matter; inside an already sideways market, it may tell you almost nothing new.
At a glance
How to identify a spinning top
Small body
The open and close are close together, but not necessarily equal.
Upper wick
Price traded meaningfully above the body before pulling back.
Lower wick
Price also traded below the body before recovering.
A positive-close spinning top and a negative-close spinning top both describe limited control. Candle colour changes the fine detail, but the small body and two-sided wicks are the central message.
What happened inside the candle?
Both sides had opportunities — neither kept control.
Imagine an ASX share opens at $3.00, rallies to $3.15, falls to $2.86 and closes at $3.02. The session contains a meaningful battle, but the small net change hides it. The wicks reveal that price explored both directions before finishing near its starting point.
That can matter after a strong trend because a market that had been moving cleanly has suddenly become less decisive. It does not mean the trend must reverse; it means certainty has weakened for at least one period.
Spinning top vs doji
They are related, but not identical.
Spinning top
Has a visible small body. The open and close are close, but there is still a measurable difference.
Doji
The open and close are essentially equal, leaving little or no real body.
Both can describe indecision. The practical lesson is the same: do not treat a label as a forecast. Ask what changed in context and what the next candles do.
More useful when
Context gives it meaning.
- it appears after a sustained rise or decline;
- it forms near support or resistance;
- volume shows genuine participation;
- the stock is liquid enough for the wicks to be meaningful; and
- later price action breaks decisively from the spinning top range.
Less useful when
Indecision is already normal.
- price is chopping sideways;
- volume is extremely low;
- the wicks come from isolated trades;
- there is no meaningful prior trend; or
- the broader market or company event explains the noise more clearly.
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Spinning top FAQ
Quick answers
Is a spinning top bullish or bearish?
Neither by itself. It usually describes indecision. Context and subsequent price action determine whether the pattern becomes bullish, bearish or irrelevant.
What is the difference between a spinning top and a doji?
A spinning top has a small visible body. A doji’s open and close are essentially equal, so the body is almost absent.
Can a spinning top signal reversal?
It can appear before a reversal, particularly after a strong trend, but it can also be followed by continuation. It is evidence of balance, not a reversal guarantee.
Important information: This page provides general educational content about candlestick patterns and technical analysis. It does not provide financial product advice or recommendations, does not consider your objectives, financial situation or needs, and does not tell you whether to buy, sell or hold a financial product. Examples are educational, not forecasts or recommendations about any ASX security.
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