How to spot a Dragonfly Doji
- Open, close and high are almost equal
- A long lower wick and little or no upper wick
- Most meaningful after a decline or at support
What the Dragonfly Doji tells you
Sellers pushed price well down during the period, but buyers took all of it back by the close. After a fall, that rejection of lower prices can mark the point where selling is drying up.
How traders use it
- Wait for the next candle to close above the dragonfly high
- Enter after that confirmation
- Place the stop below the end of the long lower wick
Common mistakes
- Buying it in the middle of a strong downtrend with no support nearby
- Skipping confirmation
- Placing the stop inside the wick, where normal noise can hit it
See it on a real chart · EP 01Candlestick Patterns for BeginnersWatch the free lesson →
Questions about the Dragonfly Doji
Is a dragonfly doji bullish?
It is usually read as bullish when it appears after a decline or at support, because buyers rejected lower prices. Confirmation from the next candle is still important.
What is the difference between a dragonfly doji and a hammer?
Both have long lower wicks. A hammer has a small but visible body near the top, while a dragonfly doji has almost no body at all.
For education only, not financial advice. The chart is an illustration of the pattern, not real market data. No pattern works every time; always use a stop-loss.