What is a doji candlestick?

A doji—or, more accurately, "dǎji" ("do") for a session in which the candlestick for a security has an open and close that are nearly identical and are frequently seen in patterns—is the name given to a trading session during which the closing price of a security is approximately equal to its opening price.

The Doji candlestick resembles a cross, inverted cross, or plus sign. Alone, doji are neutral patterns that appear in various important formations.

When a security's open and close are essentially equal for the given time period, a doji candlestick forms, often interpreted as a reversal pattern by technical analysts.

In Japanese, "doji" means blunder or mistake, referring to the open and closing prices are nearly always the same.