Spinning Top: The Indecision Candle
A Spinning Top has a small body with upper and lower wicks of roughly equal length. Neither buyers nor sellers dominated the session — the market ended near where it started after fighting in both directions. It signals indecision and often precedes a reversal or trend pause.
The Spinning Top is the candlestick equivalent of a shrug. During the session, price explored territory both above and below the opening level — but by the close, neither side had made meaningful progress. The result is a candle with a small body sitting roughly in the middle of its range, flanked by wicks on both sides.
Spinning Top — small real body with roughly equal upper and lower wicks. Colour (green/red) is secondary.
Spinning Top vs Doji: What's the Difference?
Both are indecision candles, but the degree differs. A Doji has virtually no body — open and close are essentially identical. A Spinning Top has a small but visible body — there was a marginal winner, but the margin was not significant. In practice, both carry a similar message: the prior trend may be losing momentum.
| Feature | Doji | Spinning Top |
|---|---|---|
| Body size | None or near-zero | Small but visible |
| Wicks | Can vary (long-legged, etc.) | Roughly equal both sides |
| Signal strength | Slightly stronger indecision signal | Valid indecision signal |
| Interpretation | Identical open and close | Buyers or sellers won marginally |
What the Spinning Top Is Telling You
During the session, buyers drove price higher — creating the upper wick. Then sellers pushed it back down — creating the lower wick. By the close, the market settled near the open. This tug-of-war, ending in a draw, signals that the dominant force (whichever trend was in place) is no longer running unchallenged.
Key Principle
A Spinning Top is not a trade signal — it is a warning. It tells you that conviction is fading. Your job is to watch the next candle and let it decide the direction.
Spinning Top in an Uptrend
After several strong green candles, a Spinning Top appears. Bulls made a run for new highs but were pushed back. Bears pressed the lows but buyers defended them. The trend stalled. Possible outcomes: the next candle breaks upward (continuation), or breaks downward (reversal). Neither is certain until you see the close of the next session.
Uptrend Reversal Setup
A stock rallies for 5 days from ₹200 to ₹240. On day 6 a Spinning Top appears at a known resistance zone — open ₹241, high ₹246, low ₹237, close ₹242. Small green body, wicks both sides. Day 7 opens and closes below ₹238 — confirming reversal. Short entry on that confirmation candle's close, stop above ₹246 (Spinning Top high).
Spinning Top in a Downtrend
After sustained selling, a Spinning Top at or near support signals that sellers are losing grip. Buyers are starting to contest the lows. This is not a buy signal yet — it is a signal to watch closely. A bullish candle following the Spinning Top would confirm that buyers have taken control.
Never Trade a Spinning Top in Isolation
A Spinning Top appearing in the middle of a trend, away from any key level, is simply a slow session. It has no predictive value without context. Look for Spinning Tops at support, resistance, previous highs/lows, or after extended moves — that is when they carry real weight.
Key Takeaways
- A Spinning Top has a small real body and wicks extending both above and below — roughly equal in length.
- It signals indecision: buyers pushed price up, sellers pushed it down, but neither won by the close.
- A Bullish Spinning Top has a green body; a Bearish Spinning Top has a red body — the body colour is secondary.
- Context matters: a Spinning Top after a strong uptrend warns of exhaustion; after a downtrend, it hints at stabilisation.
- Always wait for the next candle to confirm the direction before acting.