Final answer:
The shooting star formation (bearish pin bar) is formed at the top of an uptrend and indicates a potential trend reversal.
Step-by-step explanation:
The shooting star formation, also known as a bearish pin bar, is formed at the top of an uptrend. It is a candlestick pattern that indicates a potential trend reversal and can be used as a bearish signal. The shooting star has a long upper shadow and a small real body located near the low of the candle.
For example, if the price of a stock has been steadily rising and reaches a new high, but then forms a shooting star candlestick, it suggests that the buying pressure is weakening and that a bearish reversal might occur.