A Doji is a candlestick with an open and close price at the same level. Shadows can exist on either sides of the body and can be long or short. You should always look at the Doji’s shadows, placement in a trend, and color.
“Doji”, without any preceding categorization, typically refers to a candlestick that is reminiscent of a plus sign or a cross with its bar directly in the middle. This indicates that opened, moved to a high, fell to a low, and then moved back to the middle to close at the open.
A “dragonfly” doji has its body at the top of candlestick instead of the middle. This indicates the price opened, fell, and rose to the open. The sell pressure dominated the trading period, but was eventually overcome. Buyers were able to return the price to the opening value. In a downtrend, buyers have emerged below this value. If they continue to enter, the trend is over.
A “gravestone” doji has its body at the bottom of the candlestick instead of the middle. The path of prices shows an open at or very near the low of the trading period, followed by buyers driving a rise to the high of the period. The buyers lose control of price momentum, and sellers move price lower to close. In an uptrend, buyers failing to push price forward is a warning sign of reversals. In a downtrend, buyers have entered, but failed to keep price at a high. You should note that price didn’t successfully move lower.
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International Economic Analysis:
- Major Currency Economic Summaries
- Performance of Major Imports and Exports
- Mandates of Central Banks versus Expectations
- Performance Indexes of Major Economies
- Economically Correlated Currency Projections
- Large Funds Currency Sentiment Readings
- List of Technical Indicators to Look For
- Occasional: Foregin Exchange Technicals Markups
American Markets Analysis:
- Summaries of American Economic Structure
- Performance of Major
- Federal Reserve Mandate versus Expectations
- Performance Indexes of U.S Economy
- Economically Correlated U.S Dollar Projections
- Large Trading Fund Index Sentiment Readings
- Market Wide Earnings Versus Valuations
- Fundamental Ranking of U.S Business Sectors
- Best and Worst Future Consensus Estimates
- Occasional: Firm Fundamental Strength Report
- List of Technicals to Look for While Trading
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