dragonfly_doji

Function Name: dragonfly_doji

Tags: None

Category: Candlestick, Pattern

The Dragonfly Doji is a significant bullish reversal candlestick pattern that mainly occurs at the bottom of downtrends. The Dragonfly Doji is created when the open, high, and close are the same or about the same price (Where the open, high, and close are exactly the same price is quite rare). The most important part of the Dragonfly Doji is the long lower shadow. The long lower shadow implies that the market tested to find where demand was located and found it. Bears were able to press prices downward, but an area of support was found at the low of the day and buying pressure was able to push prices back up to the opening price. Thus, the bearish advance downward was entirely rejected by the bulls. A dragonfly doji pattern is a relatively difficult chart pattern to find, but when it is found within a defined trend it is often deemed to be a reliable signal that the trend is about to change direction. As you can see from the chart, on the day of the dragonfly doji (shown within the black box), traders realize that the price was sold down to unjustifiably low levels so they send the price back up to where the stock opened. The close near the day's open suggests that demand is again starting to outweigh supply.

LInk: http://www.investopedia.com/terms/d/dragonfly-doji.asp#ixzz1h4NMWubu

 

BodyHeightMax
	Default Value: 0.029999999999999999  |  Minimum: 0  |  Maximum: 2
	Type: Numeric
UpperShadowMax
	Default Value: 0.01  |  Minimum: 0  |  Maximum: 2
	Type: Numeric
LowerShadowMin
	Default Value: 0.10000000000000001  |  Minimum: 0  |  Maximum: 999
	Type: Numeric
ShowTraderBar
	Default Value: -1
	Type: Boolean
ShowTraderMark
	Default Value: -1
	Type: Boolean