Is this proper application of a gravestone doji?
- Thread starter IronFist
- Start date
Markets a bit slow right now and this post makes for a slightly different and interesting diversion for me.
Firstly, I trade futures, not stocks, and I do not use candles. Good 'ol bar charts for me. My early days involved the study and use of candles.
I don't see a Gravestone Doji. I see an Inverted Hammer.
The pedantic way to play Inverted Hammer is to wait for next bar confirmation, where the open is above the Inverted Hammer body.
FWIW; Harami used to be my favorite candle play.
Good trades to you.
Osorico
Firstly, I trade futures, not stocks, and I do not use candles. Good 'ol bar charts for me. My early days involved the study and use of candles.
I don't see a Gravestone Doji. I see an Inverted Hammer.
The pedantic way to play Inverted Hammer is to wait for next bar confirmation, where the open is above the Inverted Hammer body.
FWIW; Harami used to be my favorite candle play.
Good trades to you.
Osorico
Quote from IronFist:
Geez, you're right, it is an inverted Hammer.
In my defense, the first program I looked at it on showed it as a doji. Then to get a better pic I used QT and it was actually an inverted hammer, but I had "gravestone doji" stuck in my head by that point.
Geez I'm like 0 for 2 today
Ironfist,
Not sure if you are like me (not that good of a memory) - but youll find alot of candles look the same its where they are at in the chart what matters.
Theres so many candle names and candle patterns its hard to keep them all straight.
Something Nison said in one of his books - He was talking about taking 2 candles and putting them together to make one candle (I cant remember why he said he was doing this) - (but I took it this way - where if you went sure what a certain series of candles were doing I often will combine 2 candles and see what the candle looks like - often you make inverted hammers/hammers/hanging men etc out of them and they let you know what may come next. Many candle books ask for confirmation - and this will often be the case with even the most straight forward 'reversal' candles.