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Doji Candlestick Pattern
Doji candlestick pattern is one of the most popular Candlestick Patterns. A doji is a pattern where the open price is equal or very close to the close price. Here's how it looks like.
Doji is a reversal pattern. When the doji pattern occurs on a down trend, it indicates that the stock may be reverse and going up soon. When the doji pattern occurs on an uptrend, it indicates that the stock may start going down. Generally, you should wait for a conformational signal after the doji happens. For instance, when the doji occurs on a down trend, the day after the doji day should be positive. On the hand, when the doji occurs on an up trend, the day after the doji day should be negative.
Let's look at some examples.
You can screen for Doji patttern on the candlestick scanner page.
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