A doji closes almost exactly where it opened — a full auction round-trip that settled nothing. One doji is a shrug. What matters is WHERE it prints and what came before it: after a long directional run, a doji is often the first candle where the winning side failed to make progress — the earliest whisper of exhaustion.
Reading indecision honestly
- Doji after an extended leg + at a level = pay attention; the next candle's direction frequently decides the day.
- A CLUSTER of dojis/small bodies = the market building a micro-range. Trade its break like any range break, expecting a fakeout risk.
- Dojis inside established chop mean nothing. Indecision inside indecision is not a signal — it's weather.
Never trade the doji itself — trade its RESOLUTION. The doji marks the question; the next committed candle is the answer.