What is Spinning top?
Pirildoq (spinning top)
In short
A small-bodied candle with wicks on both sides. Both sides tried and neither won — a sign of indecision.
Also known as: pirildoq
A spinning top is a small-bodied candle with wicks both above and below. During the period buyers tried to push price up and sellers tried to push it down, but the close ended up near the open — nobody won.
How it differs from a doji
In a doji the open and close are virtually the same (the body is a line). A spinning top has a small but visible body. Both signal indecision; the doji expresses it more strongly. A spinning top can be green or red — the colour matters little.
Where it means something
- After a strong trend — a first hint that the move is slowing. A spinning top after a long rally shows buyer conviction fading.
- In the middle of a range — it means almost nothing: the market is already moving sideways.
How to use it
A spinning top is a warning, not a signal. It says "the move has paused" but not which way price goes next. The next candle gives the answer: a close beyond the spinning top's high or low shows the direction. It is often the middle candle of a larger pattern such as an evening star or morning star.
The body shows who won, the wicks show what was rejected. Marubozu: a full body with almost no wicks. Spinning top and doji: a small body, indecision. Hammer and dragonfly doji: lower prices were rejected. Shooting star and gravestone doji: higher prices were rejected.
Example
Illustrative: a stock rose from $34 to $40 over ten days. The next day it opens at $40.00, trades up to $41.50, down to $38.80 and closes at $40.20.
- Body: $40.20 − $40.00 = $0.20
- Range: $41.50 − $38.80 = $2.70
- Body share: $0.20 ÷ $2.70 ≈ 7.4%
- Upper wick: $41.50 − $40.20 = $1.30; lower wick: $40.00 − $38.80 = $1.20
Both wicks are almost equal and the body is small — a spinning top. If the next day closes below $38.80, the pause in the rally is confirmed; a close above $41.50 says the trend is continuing.
Mistakes and tips
Don't treat a spinning top by itself as a reason to buy or sell — wait for the next candle to confirm.
Ignore spinning tops inside a range; they only matter at the end of a trend or near key resistance or support.
If you hold a position and a spinning top appears after a long trend, consider tightening your stop or taking partial profit.
Frequently asked questions
- Is a spinning top bullish or bearish?
- Neither — it is a neutral, indecision candle. The next candle and the overall trend decide the direction.
- Is a spinning top the same as a doji?
- Close, but not the same. A doji has practically no body, while a spinning top has a small visible one; the doji signals indecision more strongly.
Learn it in the Academy
This term is covered with hands-on examples and a quiz in these lessons of the interactive course.
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