c
 

has no or an
extremely short body and
long shadow(s).

It is formed when buyers

were unable to overcome
sellers' pressure and push
the price any further from
an open point, andat the
same time, sellers met
strong buyers' pressure and also didn't
succeed in their efforts to push the price
down from the open point. The result is a
draw: open price = close price.

Doji candlestick signals of possible

market turn / price reversal, especially when
spotted after a long preceding candlestick
(bearish or bullish) in a strong trending
market. However it can not be used along.
The confirmation (next following candlestick)
is needed to reassure that market has
changed its direction

Tip: If doji appears at previous support

resistance levels (e.g. trend line, price
channels, fibonacci retracement, pivot points
etc.) its importance gains additional strength.
 ] 
   
 gives a
strong signal when
appears after a long bullish
candlestick at the top of an
uptrend. It indicates that
although buyers were
confidently trying to push
the price up, eventually
sellers gained enough strength to return the
price to its open position. A trader should
consider taking profits and exiting if trading a
long position, or place a tight stop below the
close price.

A     

has open, close and high:
all at the top. It should be
treated seriously when
spotted at the bottom of a
downtrend while following
after long red candle, as it
signals that buyers have
got enough strength to
return the price from its advancing low
progress to the starting open point.

When trading short position a trader

should think of an option to secure profits and
close a position or set a protective stop
tighter as a market can resume a U-turn.
 M    is more an
indecisive candlestick, as
neither buyers nor sellers
had demonstrated their
power and finished with
zero progress.

When appears after a

long preceding
candlestick, this doji type
always requires following confirmation (next
candlestick should be bullish in the
downtrend or bearish in the uptrend).

A       

also is an indicator of
indecisiveness between
buyers and sellers. The
color of the body here is
not important.

Several spinning tops going

one after another indicate
a current stand-off
between bulls and bears. Found during a
strong trend spinning tops "group" can signal
of a possible price reversal.

However it could be also that a strong trend is

only "resting" temporarely, and after a short
consolidation, the price will resume its
previous direction.
 =

 
and à



à  are bearish signals of
potential price reversal.

Their distinctive features are:

1) position at the top of a

uptrend;

¦) really long shadows ͞¦

times more than a real body
or longer͟;

3) small body (color doesn't matter, however, red

color would give stronger signal).

Long shadows of hanging man are results of

strength of forming bears' pressure. Same as for
the shooting star Ͷ it's apparent that bears
managed to stop the price from advancing and
seriously pulled it down.

Both candlestick patterns require further

confirmation (following red candle) before
opening new positions.

= and 
 
    are
result of a growing buyers'
pressure when occur at the
bottom of a downtrend.
Although these patterns are
signs of a possible trend
reversal, they need to be
confirmed before taking
actions. The green color of a
body for hammer as well as inverted hammer
is considered as a much stronger bullish signal
than the red one.