7 doji candlestick patterns for beginners in trading
A Beginner’s Guide to Doji Candlestick Patterns in Trading Candlestick charts are an essential tool in technical analysis, providing insights into price movements across different asset classes such as stocks, forex, crypto, and commodities. One of the most significant patterns in candlestick charting is the Doji candlestick pattern . In today’s post, we’ll explore what a Doji is, its types, and how it can be used effectively in trading. What is a Doji? The term Doji comes from the Japanese word for “blunder” or “mistake,” referring to the rarity of an open and close price being exactly the same. A Doji is a unique candlestick pattern where the opening and closing prices are equal or nearly identical. This results in a candle with no real body, appearing as a thin line with wicks extending above and below. Understanding Basic Candlestick Patterns Before diving into the Doji, let’s first understand basic candlestick formations: Green/White Candlestick: Indicat...