After a big move up in the major indexes to major resistance, I always look for DOJI’s. DOJI’s are indecision candles, showing the balancing of supply and demand for a stock. When I am looking for reversal sell signals, I like to combine the DOJI with other indicators. Here are two…
- An overbought Red MACD line.
When constructing a scanner to look for DOJI’s I like to be creative.
Today I was looking for stocks over 40, with average daily volume of at least 500,000 shares. We are looking for stocks that usually have a lot of movement. I have found that stocks under 40, and less than 500,000 share volume show many false DOJI’s. Here is my scan on TOS.
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