Doji candles and their types:
A Doji candlestick pattern occurs when the open and close prices of an asset are very close to each other,
resulting in a small or non-existent body with long upper and lower shadows. There are several types of Doji
candles:
Standard Doji: The open and close prices are virtually the same, creating a small or non-existent body.
Long-Legged Doji: This type of Doji has long upper and lower shadows, indicating significant price volatility
during the trading session.
Gravestone Doji: It has a long upper shadow and little to no lower shadow, suggesting that sellers controlled
the price action during the session, pushing prices down from the opening price to the lows, but buyers
managed to push prices back up to the closing price.
Dragonfly Doji: It has a long lower shadow and little to no upper shadow, indicating that buyers controlled the
price action during the session, pushing prices up from the lows to the highs, but sellers managed to push
prices back down to the closing price.
Each type of Doji can signal different market sentiment and potential changes in trend direction, depending on
its context within the overall price action.