Morning Doji Star

Morning Doji Star for NT8

The Morning Doji Star is a 3 bar pattern that forms following a down-trend, indicating a possible bullish reversal. It may therefore indicate a possible shift in market sentiment. To learn more, check out the video below:

What is the Morning Doji Star Pattern

The first bar in the Morning Doji Star pattern is a large body down-close whereas the second candle is a doji. The third and final bar is a large body up-close with a close above the midpoint of the the first candle’s body.

To determine the large body and doji requirements, a minimum / maximum threshold has to be met. This is done by making a comparison to the average bar size found in the reference period. The minimum / maximum thresholds and the reference period used to establish the average are adjustable.

When identified as a reversal, the Morning Doji Star pattern will occur during a minor bearish swing trend. The trend bias specifications are user selectable via the indicator dialogue box, as per the deviation type and multiplier settings. The bearish equivalent of this pattern is the Evening Doji Star.

Although the patterns are considered a reliable indication of a trend change, they should be combined with other technical indicators to confirm. For example, you may review our Indicator Library categories for momentum oscillators or trend analysis. More information on combining candlestick patterns with other technical indicators available here.

Other bullish candlestick patterns

Other bullish candlestick patterns include the bullish belthold, bullish engulfing, bullish harami, bullish harami cross, bullish piercing, bullish hammer, dragonfly doji, inverted hammer, long white candle, morning star, tweezers bottom, three white soldiers, rising three methods and the white marubozu.

All of the above patterns may be identified with our candlestick pattern indicator for NinjaTrader 8. Check out the LizardIndicators Premium Section for more information.