we have a bullish gravestine doji (candlestick chart) today... tomorow may be a big surprise to the shorts and longs.... here is the chart. do your own dd and see what I mean. If I were short I would be quite scared at this moment especailly is the market rallies tomorow. Much luck and peosperity to all
Gravestone doji is not a bullish sign. It is indicating it will go down tomorrow. But with this stock it might go down and then way up!!!I wouldn't bet the farm on TA with this stock. It is momentum driven. I am holding some shares so I would like to see it go up also. TA works if all things stay the same. I think this stock is a great contrarian play, considering the world situation. But right now it is easily controlled by momentum players, and it will be up and down. If you want to stay long buy small amounts on the dips, or play it up and down. Good Trading FWIW
How to identify 1. A downtrend is under way 2. The first day is a black day formed at the lower end of the trading range 3. The second day is a Doji with no lower shadow 4. Upper shadow usually long 5. No gap down is required, as long as the pattern falls after a downtrend
The Gravestone Doji bull is very similar to the Inverted Hammer bull. With the Gravestone Doji bull, the open and close are identical whereas the Inverted Hammer bull has a small real body at the lower end of the trading range. The Gravestone Doji bull is considered more bullish than an Inverted Hammer bull and has a higher reliability associated with it than an Inverted Hammer bull.
The Gravestone Doji bull is a bottom reversal pattern. Similar to its cousin the Inverted Hammer bull, it occurs in a downtrend and represents a possible reversal of trend. Common with most single and double candlestick patterns, it is important to wait for verification, in this case bullish verification. This could be in the form of the next days open above the Gravestone Doji bull's body. Since the closing price is at the low for the day and the market traded much higher, verification is most important.
As the market opens below the close of the previous day, the bulls rally briefly, but not enough to close above the previous day's close. As this leaves shorts in a losing position, the Inverted Hammer bull represents the potential for an upcoming rally. Confirmation of the trend reversal would by an opening above the body of the Inverted Hammer on the next trading day.