Definition:
The Four Price Doji is a single candlestick pattern. It is simply a horizontal line that has no upper or lower shadows.
Recognition Criteria:
1. The body is a horizontal line.
2. There are no upper or lower shadows at all.
3. The open, close, high and low are the same throughout the entire day.
Explanation:
A Four Price Doji is a very rare occurrence and it may be seen only if all the four price components are equal. That is, the open, high, low, and close turn out to be the same. It represents complete and total uncertainty by traders concerning the market direction.
Important Factors:
The Four Price Doji usually occurs when a stock is very illiquid, has low volume, or the data source do not report any other price other than the closing price.
The Four Price Doji is not reliable like most other single candlestick patterns. It only reflects one day's trading and conveys a sense of complete indecision. It usually is interpreted as a reversal pattern however this indicator must be used with other candlesticks for a healthier judgment about the course of the trend.
Like all other doji types, Four Price Doji is also
important only in markets where there are not many doji.
In a chart characterized by many doji, the emergence
of Four Price Doji do not have a signal value.
