Beginner

Long Legged Doji Candlestick

This lesson introduces the Long Legged Doji candlestick pattern, how to identify it, and how to use it in forex trading. Suitable for beginners.

Mark · Trader & Founder, Social Forex

Long Legged Doji Candlestick

Definition of Long Legged Doji

The Long Legged Doji is a special Japanese candlestick pattern. It occurs when the open and close prices are nearly equal, but both the upper and lower shadows are very long. This indicates market indecision: neither buyers nor sellers have the upper hand.

Shape and Identification

  • The body is very small or absent (doji).
  • Upper shadow is long, lower shadow is also very long (long legs).
  • The candle may have no wick or a very thin wick at the body.
  • Open ≈ CloseLong upper wickLong lower wickExtreme volatility, both sides tested, closed at the same level

    How to Trade with Long Legged Doji

  • Main role: Signals a potential reversal after a strong trend (up or down).
  • After an uptrend: The market may be about to fall. Wait for a confirmation bearish candle before selling.
  • After a downtrend: The market may be about to rise. Wait for a confirmation bullish candle before buying.
  • Do not trade immediately: Always wait for confirmation from the next candle or other signals.
  • Real Example

    Imagine the price is rising strongly, then suddenly a Long Legged Doji appears. The next day, a long bearish candle forms. That is a sell signal. Conversely, if the market is falling, a Long Legged Doji appears, followed by a strong bullish candle – that is a buy signal.

    Price Action — reading candlestick patterns in context

    Common Mistakes

  • Trading immediately upon seeing the Doji without waiting for confirmation.
  • Confusing Long Legged Doji with other doji types (standard doji, dragonfly).
  • Relying solely on one candle without considering the overall trend.
  • Always combine the Long Legged Doji with other tools such as trend lines, support/resistance to increase reliability.

    Content is for reference only, not investment advice. Forex trading carries high risk.

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