Key Takeaways
Gravestone Doji
A doji with a long upper shadow and no lower shadow. Open and close at the low. Strong bearish reversal at tops.
Market Psychology
Buyers pushed prices up but sellers completely reversed the gains, closing at the open - showing seller strength.
Candle Structure
Trading Setup Example
Entry, stop loss, and take profit levels.
Always wait for pattern confirmation before entering a trade.
Where This Pattern Appears
Trend context and market position.
Appears at the top of an uptrend, signals bearish reversal.
How to Identify
Open, low, and close at or very near the same price
Long upper shadow
No or minimal lower shadow
Appears after an uptrend
Confirmation Signals
Trading Strategy
š„ Entry
Enter short on next candle confirming bearish momentum
š Stop Loss
Place stop above the gravestone high
šÆ Take Profit
Target support or use trailing stop
āļø Risk/Reward
1:2
Common Mistakes to Avoid
Pro Tips
Best Timeframes
Pattern Variations
Educational Disclaimer
This content is for educational purposes only and does not constitute financial or investment advice. Trading involves significant risk and you may lose your capital. Always consult a licensed financial advisor before making investment decisions.
Frequently Asked Questions
Related Learning Resources
Related Patterns
Shooting Star
A small body at the bottom of the candle with a long upper shadow (at least 2x the body). Appears at the top of an uptrend.
Hanging Man
Same shape as hammer but appears at the top of an uptrend. Small body with long lower shadow indicates potential bearish reversal.
Bearish Engulfing
A large bearish candle completely engulfs the previous bullish candle. One of the most reliable bearish reversal patterns.