Not to be confused with a regular Doji, Dragonfly Doji and Gravestone Doji, the Long-Legged Doji candlestick is a single candle that represents indecision among buyers and sellers.
Just like other Doji’s, the Long-Legged Doji’s open and closing prices are at virtually the same price point.
This Doji candle is slightly different from the others in that price fluctuates to extreme highs and extreme lows, giving the candle long wicks in both directions.
But even so, the Long-Legged Doji reveals little to nothing about the future direction of price. Bulkowski’s tests affirm the notion that breakouts that occur after this candle formation are completely random.
The Long-Legged Doji, along with any other single candle, is not good enough confirmation for entering a trade.
Long-Legged Doji’s with longer upper and lower wicks tend to have stronger breakouts than their shorter counterparts.