Doji: the candle of indecision
🕯️ The Doji is one of the most misunderstood candles in trading.
It forms when the open and close prices are practically identical, leaving an almost nonexistent body with wicks on both sides. It is neither bullish nor bearish by itself: it represents balance between buyers and sellers, a moment where neither side has control.
📍 Why it matters:
After a strong trend (bullish or bearish), a Doji may signal exhaustion of the move.
In the middle of a sideways market, it is just noise, not a signal.
Its strength depends on context: where it appears, not the candle itself.
⚠️ Common mistake: treating every Doji as a reversal signal. Most are not. It only makes sense if it appears in a key zone and is confirmed by the next candle.
