Finance World

Date: 28-Oct-2026

Dragonfly & Gravestone Doji Candlestick pattern

Both are special types of Doji candlesticks. They show that the opening and closing prices are nearly equal, but the shape of their shadows reveals different buying and selling pressure.

Dragonfly Doji Candlestick pattern

A Dragonfly Doji forms when the price falls significantly during the candle but recovers near the opening price by the close.

1. Long lower shadow
2. Almost no upper shadow
3. Open, close and high near the same price

Criteria to find right Dragonfly Doji: It can be formed anyplace in the candlesticks chart. But we need to focus only on those Dragonfly which are following following criteria:

1. Dragonfly should be formed after 5- or more downtrend candles or at least 15% up
2. Dragonfly should be gap-down open or near the close price of previous candle
3. Color doesn’t matter for Dragonfly, it can be red or green.
4. Upper wick must be very tiny or absent
5. buy should be closed price of the Dragonfly candle or little down- depend on the loss capacity
6. Stop loss would be apply below the wick of Dragonfly
7. Set Stoploss once next candle closed

Gravestone Doji Candlestick pattern

A Gravestone Doji forms when the price rises significantly during the candle but falls back near the opening price by the close.

1. Long upper shadow
2. Almost no lower shadow
3. Open, close and low near the same price

Criteria to find right Gravestone Doji: It can be formed anyplace in the candlesticks chart. But we need to focus only on those Gravestone which are following following criteria:

1. Gravestone should be formed after 5- or more uptrend candles or at least 15% up
2. Gravestone should be gap-up open or near the close price of previous candle
3. Color doesn’t matter for Gravestone, it can be red or green.
4. Lower wick must be very tiny or absent
5. Sell should be closed price of the Gravestone candle or little up- depend on the loss capacity
6. Stop loss would be apply above the wick of Gravestone
7. Set Stoploss once next candle closed

Disclaimer: The information provided here is for educational and informational purposes only and should not be construed as financial, investment, or legal advice. Always do your own research and consult with a SEBI-registered financial advisor before making any investment decisions. Investments in the financial markets are subject to risks, including the risk of loss of principal.