Doji varieties worth distinguishing
Not every doji means the same pause. Wick placement changes the story.
A doji’s open and close sit near each other. That shared trait hides useful differences.
Gravestone
Long upper wick, almost no lower wick: buyers pushed high and lost the ground by the close. Near resistance after a rise, it can warn; in a vacuum with no level nearby, it may simply mark a noisy bar.
Dragonfly
Long lower wick, little upper wick: sellers drove price down and buyers recovered into the close. Context at support matters more than the silhouette alone.
Long-legged
Extended wicks both ways: a wide fight with little net progress. These often appear in transition zones. Our rule in class is to widen the “watch” zone and shrink the “act” zone until a subsequent candle shows clearer body direction.
Spend one homework evening labeling only dojis on a daily chart of an index you follow. Count how many sat at obvious levels versus mid-range. That ratio usually surprises people who treated every doji as equal.