It is a Japanese candlestick pattern having a smaller body than wicks or shadows. It looks like a cross, inverted cross or a plus sign. The word doji refers to both the singular and plural form.
A doji reflects hesitation on the market. Prices move above and below the opening level during the session, but close at or near the opening level ending in a standoff. Neither bulls nor bears were able to surmount.
It doesn’t mean a change in the prevailing trend in itself, alone, it is a neutral pattern but many times it is featured in a number of important patterns like: evening doji star, bullish doji star, morning doji star, bearish doji star.
Much more powerful versions of the pattern are the long-legged doji, the gravestone and the dragonfly doji.
