BULLISH MORNING DOJI STAR

BULLISH MORNING DOJI STAR

Definition :

This is also a three-candlestick formation signaling a major bottom reversal. It is composed of a long black candlestick followed by a doji, which characteristically gaps down to form a doji star. Then we have a third white candlestick whose closing is well into the first session’s black real body.This is a meaningful bottom pattern.

Recognition Criteria:

1. Market is characterized by downtrend.

2. We see a long red candlestick in the first day.

3. Then we see a Doji on the second day that gaps in the direction of the previous

downtrend.

4. The white candlestick on the third day confirms the reversal.

Important Factors:

The Doji may be more than one, two or even three. The reliability of this pattern is

very high, but still a confirmation in the form of a white candlestick with a higher close

or a gap-up is suggested.