Bearish Doji Star Pattern
BEARISH DOJI STAR PATTERN (BDSP)
a deadlock between buyers and sellers is on its way
1. Market is on an uptrend;
2. Day 1 has a long white stick;
3. On Day 2, there is a short stick, a spinning top, a highwave or a Doji that gaps in the direction of the previous trend; and
4. The shadow of the stick, top, highwave or Doji is not long.
The BDSP is a short candlestick, a spinning top, a highwave or a Doji following a white stick with an upside gap in the course of an uptrend. The bulls control the market in a strong uptrend. The appearance of a BDSP in this uptrend shows that the buyers now lose their control and the market is on its way to a deadlock between the buyers and sellers. The stars tell us that the strength of the uptrend is now dissolving and the market is increasingly susceptible to a setback.
1. A confirmation on Day 3 is necessary to show that the uptrend has reversed (through a black stick, a large gap down or a lower close).