The main force usually makes a key move—testing the market—before launching a trend. During the testing process, the most common pattern that appears is the "Immortal Pointing the Way" pattern, which is characterized by a long upper shadow. Many people misinterpret this pattern; not all long upper shadows can be considered testing lines. Today, we will clarify this thoroughly.

The main force's testing actually runs throughout the entire operation cycle. It tests both the support strength below and the selling pressure above. The core function of the "Immortal Pointing the Way" pattern is to test the selling pressure from above, to determine whether to continue shaking out the shares or to directly push higher.

The "Immortal Pointing the Way" and the Shooting Star look similar, but the key difference lies in their performance on the intraday chart and the position of the stock price.

A typical "Immortal Pointing the Way" pattern usually appears during a period of sideways consolidation or early in an uptrend. Looking at the intraday chart: there is often a volume surge in the early trading session, with the stock price rapidly rising, but the final increase is not large—usually around 7%. Then the price gradually pulls back, ending with a slight gain at the close. This forms a long upper shadow on the daily K-line—small real body, with the upper shadow often more than twice the size of the body. If it’s a bearish (down) line, it’s not as strong as a bullish (up) line.

Here’s an important detail: if the selling pressure is small on the intraday chart, the decline will be with reduced volume, indicating strong support. Conversely, if the selling pressure is large, the decline will be with increased volume, usually suggesting that the shakeout will continue.

To judge whether the testing was successful, the key is the next day’s movement. If the stock can rise with volume and close higher, the testing is successful, and the main force will start to push higher afterward. Otherwise, it may continue to adjust.

This is the underlying logic of the "Immortal Pointing the Way" pattern. Mastering this pattern thoroughly will greatly help in identifying the intentions of the main force.