Doji Candlestick Signal | The Best Forex EA Bot

Alan Solar, the passive income guru, in this video tutorial explains to you what each candle represents. So we're going to go through each candle.

Formation in detail and explain to you how they were formed, why they were formed. But the main reason why we're doing this is so that you can enter into trades at the right time and exit trades at the right time. We, what, what we want to do is we want to teach you how to maximize your profits in the best possible way. And knowing these candlestick formations will give you that edge, that proficiency in maximizing your profits. I mean, imagine you knowing exactly when to enter a trade rather than your friend telling you when to enter the trade or you read about something in the newspaper magazine or you're sitting around a brier barbecue and somebody says, I'm doing this and that and, and this is main mainly how investors operate in mainstream today. So we want to eliminate that out of your life. We want you to eliminate the emotion out of trading and rather invest from a point of, of education. Make an educated decision, trade from knowledge rather than opinion, and you'll start.

You know, making money instead of making bad decisions. And your profitable trades will now be in the region of about 80% rather than about 40 to 50%. So let's get started. Let's start with the, with the most, with, with the candlestick that is going to absolutely change your life if you follow this simple rule. Now, there are 16 major candlestick.

Formations that you will need to learn. But even if just if you had to learn just, you know, the, the four top ones, your investing strategy will be changed forever. Now, the most popular and famous of the candlestick formations is the doji, which is the top left hand corner of the screen over here. This is the doji. So let's explain it to you. So this is on a bullish candle. So basically the trade opens here and it closes very close or exactly on the point of entry. Okay. Hence forming either across or looks can be confused with a spinning top. But it's, it's. The body of the candle is very, very small. Okay? The longer the wicks are, the better the signal is for you. And, and that will give you an indication of whether you should be entering or exiting that trade. Candlestick analysis, together with technical analysis, traditional western technical analysis, mainly moving averages, the stochastic and bollinger bands will greatly enhance your trading capabilities. Okay, so we've got a very important line moving average that I've added over here. Let's have a look at it. It's the 8 exponential moving average. So let's just double click it and show you. It's an 8 exponential moving average on the close. I've marked it in red. I've got lots of other lines on this, on this chart of which I'm going to go through them with you later on. But right now let's analyze the doji, okay. So as to make a decision on, on when you should have gotten into a trade.

So let's have a look here at, at this chart. So if we, if we go over here and you look back in history on this chart, you can see when it, when was a good time to actually get involved into this trade. So let's have a look and see where we can see some dojis here. So there is a dogee over there where the top we, where the, with the open and the close are very close together. And this gives you an indication of when you should be entering into a trade. Okay. And when you use this with a little bit of technical analysis, you will see that it makes a lot of sense. So a doji basically means that there is indecision in the marketplace and the sentiment of that currency has changed. So if we look over here, you can see there's your doji over there. And the change of, of, of direction in this, in this currency was acknowledged over here. So there was the very much of a bullish, of a bearish trend over here ending this month with a doji and then going into the next month into a bearish, a bearish trade. But I'm going to look at a four hour chart to make it a little bit easier for us so that we can see exactly or even a one hour chart. Now these signals work on all time frames and for all commodities shares and, and, and, and forex as well. So let's, let's go back in time and let's see what's happening from February. Let's have a look at February 2000. There's a doji over there. So we had a bearish, we had a bearish trend over here ending in a, there's a spinning top over there. Could be, could be a hanging man as well as the.

Definite doji over here which is indicating that the trend has turned. Okay. And this would be the indication to get back into the, into, into this trade. Okay. So let's look at another time frame and we can see what's happening here. You see there's a down, there's a downward trend over here. Here is your doji which indicated that you should get into the trend. And. And then over here, you can see that the candle has gone below the 8 exponential moving average. So here is a key factor that we should add to our trading skills and our arsenal is that when the candle, when a Doji is formed above the 8 exponential moving average, it is time to take profits. So here's your Doji over here, basically at the end of this trend, telling you that the sentiment has changed, and this is where we should actually take our profits. Okay, so when the next candle forms after the Doji, this is when you should get out of the trend. You know, if, if the, if, if it is a false positive and the current currency trends down a little bit and then starts trending up again, you can always get back into the trade. Into the trade. But rule of thumb is when the doji is formed above the 8 exponential moving average, 1 needs to get out of that trade. Lock in your profits, get out. You can always get back in later. And you would have only missed a little bit of profit over here. But as you can see, there's a Doge formed over here. It's above the 8 exponential. And if you stayed in the trade, you would have acknowledged all this, all this profit over here. So what? How much of that profit would we have? Have acknowledged or take it over here? We got in over there, and there you can see it's an 89 pip pip run. And there's your Doji over there closing over here. You know, this is where you would have gotten out. So let's do that again. So you've got in over here, and you get out over there, you would have made 53 pips. Nothing wrong with that. That's a great trade. So let's have a look at a few more of these doji. So here's the doji. Let's go back a little bit.

There we go. So here's the doji over here. This is a clear indication that the trend has changed, and it's time to possibly get in. Into this, into this trade. Now, when a doji forms at the bottom, we usually wait for the candle, a candle to Open above the red 8 exponential moving average. When a candle opens and closes above the 8 exponential, we wait for the next day and to see if it does open again. You can see it open below the 8 exponent. So we wait for the next day, and the next day, you can see that it opened above the 8 exponential and closed above the 8 exponential. That is your entry point. If you have a higher risk appetite, then you can get in over here, but there is a possibility that it can be a false positive and that the currency may still be in a decline and more bearish sentiment. So if we got in over here and we followed the trade, and as you can see, all candles are above the 8 exponential moving average, we would have stayed in this trade and we would have acknowledged this full trend. So let's get the the trend line and let's see. Exactly. So we got in over here and we made, in total, we would have gotten out over there. We made 169 pips on that trade. A fabulous, fabulous trade. So as you can see, using the Doji together with the 8 exponential moving average will greatly, greatly enhance your trading skills if you just learn this little skill that has been, you know, the doji they've used for over 400 years. And I reckon that you know something to acknowledge this past history about this. So just start using this moving at this, the signal, the doji and already you'll see that your trading skills would have changed. I hope that you found that video interesting. So if you did, please mouse over this video. In the top left hand corner of the video is a YouTube icon. Click on the YouTube icon. It'll take you to my YouTube channel. When you're on my YouTube channel, scroll below the video and click on the subscribe icon. On the right of the subscribe icon is a bell icon. Click on the bell icon, click on the thumbs up icon, and also leave a positive comment in the comment section as well as your bitcoin wallet address. Because I give away 0.005 of a Bitcoin every single Friday. And you could be the lucky winner of that prize. So good luck for that and I'll see you on the next video.