Lesson 31 of 53

The Doji family

9 min read

Reading progress0%

Chapter checkpoints

0/3

Standard Doji
Dragonfly Doji
Gravestone Doji

Optional — tick a chapter as you finish it to keep your place inside this lesson.

A doji forms when the open and the close finish at virtually the same price. The battle was fought and nobody won. What makes each doji different is where the wicks sit.

Standard Doji

Doji

Open and close are almost identical — a perfect stalemate between buyers and sellers.

Doji in context — interactive mini chart

Pattern: Doji forms after the move into it
Entry: Sell only once a candle closes below the pattern low
Stop: Invalidation sits above the pattern high

Simulated price action for illustration — switch timeframes to see how the same pattern reads at different scales.

Definition: an almost non-existent body in the middle of the range, with wicks of similar length above and below.
Psychology: pure indecision. Buyers and sellers pushed price both ways and finished exactly where they started.
Where it forms: anywhere, but it only carries information after a sustained move or at a key level. In a quiet range it is noise.
What usually happens next: a pause. Either the trend resumes after digesting, or the doji marks the point where momentum died. The next candle tells you which.

Dragonfly Doji

Open, high and close sit together at the top with a long lower wick — a strong rejection of lower prices.

Dragonfly Doji in context — interactive mini chart

Pattern: Dragonfly Doji forms after the move into it
Entry: Buy only once a candle closes above the pattern high
Stop: Invalidation sits under the pattern low

Simulated price action for illustration — switch timeframes to see how the same pattern reads at different scales.

Definition: open, high and close all sit together at the top with a long lower wick — a doji shaped like a hammer.
Psychology: sellers took full control during the period and lost every bit of it by the close. This is one of the cleanest rejections of lower prices you will see.
Where it forms: at support, at the bottom of a downtrend, or at the low of a range.
What usually happens next: a bullish reaction is common, but only if the following candle closes above the doji's high.

Gravestone Doji

Open, low and close sit together at the bottom with a long upper wick — a strong rejection of higher prices.

Gravestone Doji in context — interactive mini chart

Pattern: Gravestone Doji forms after the move into it
Entry: Sell only once a candle closes below the pattern low
Stop: Invalidation sits above the pattern high

Simulated price action for illustration — switch timeframes to see how the same pattern reads at different scales.

Definition: open, low and close sit together at the bottom with a long upper wick — the mirror image of the dragonfly.
Psychology: buyers ran price up and gave back every point. Total rejection of higher prices.
Where it forms: at resistance, at the top of an uptrend, or at the high of a range.
What usually happens next: a bearish reaction, typically confirmed by the next candle closing below the doji's body.

Doji	Wick	Reads as
Standard	Both sides	Indecision — trend paused
Dragonfly	Long lower	Bullish rejection of lower prices
Gravestone	Long upper	Bearish rejection of higher prices

Remember

A doji is a question, not an answer. It tells you the current trend just lost its momentum. The candle that follows is what supplies the answer.

Progress is saved on this device.

Ready to trade? Start with Exness

Open Account