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Long legged doji

Posted in Bearish reversals, and Bullish reversals

It has very long shadows. Both of the upper and lower shadows are long and close in length and the body is lacking. This pattern forms when prices trade well above and below the day’s opening price but then close either exactly at or almost at the same level as the opening price.

Japanese candlestick - long legged doji

What does a long legged doji candle indicate?

It typically signals a strong tug of war between buyers and sellers, meaning that there is a lot of indecision. It can predict the end of both up- and downtrends.

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