Pattern Type: Neutral (pause / possible reversal)
Definition:
A candle with no real body or an extremely small one. It signals balance between buyers and sellers.
Key Characteristics:
- Open price ≈ Close price
- Long upper and lower shadows (classic Doji) or shortened depending on the type
How to Trade:
Serves as a signal of indecision. Requires confirmation from the next candles.
Mistakes:
- Treating Doji as a standalone signal
- Trading without confirmation
Conclusion:
A strong indicator of pause or trend change, especially near key levels.
