Big Fat Doji on the SPY...

in japanense candlestick charting...a doji most often signifies a reversal, the signal is stonger if the market is oversold or overbought.

Not my interpretation, that is the textbook definition.
 
a doji is a neutral signal.
A shooting star (gravestone doji) is more of a reversal signal by itself.

Although in these markets plenty of candestick formations have been violated.
I see plenty of bearish haramis (huge down red candlesticks) go right up the next day and soar.
 
I am not into candles but doesn't a doji need confirmation to be bearish? I don't think you are going to get that as this market looks like it will likley rally in to the close today and hit a new high Monday.
 
isn't doji based on closing tick?

lately the market's been reversed after dip; but no one knows! ...today is option exp-day and sometimes there is a follow throuhg on next Monday.
:confused:
 
I use candles alot, and always wait for the close of candle. You might think that it is forming a pattern, act on it, and then when it closes you realize that the candle changed.

Also, i havent looked, but i would want to see this by some sort of resistance. Everyone has there own technicals that they like to use.

Dont just sell because you see a doji. If you sell just because of the doji and it fails, dont come back and say "candles dont work, blah blah blah."

There a tool to be used in conjunction with other methods. Candle patterns are not system.
 
Quote from Trader273:

I use candles alot, and always wait for the close of candle. You might think that it is forming a pattern, act on it, and then when it closes you realize that the candle changed.

Also, i havent looked, but i would want to see this by some sort of resistance. Everyone has there own technicals that they like to use.

Dont just sell because you see a doji. If you sell just because of the doji and it fails, dont come back and say "candles dont work, blah blah blah."

There a tool to be used in conjunction with other methods. Candle patterns are not system.
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right i agree. just brings attention to a potential situation. you need confirmation.
 
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