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Nikita (SEBI RA)

1st Oct · SEBI-Registered Analyst

Evening Doji Star – Powerful Bearish Reversal

📊 The Evening Doji Star is the bearish opposite of Morning Doji Star and signals a strong reversal from uptrend to downtrend. ✅ Formation (3 candles): 1️⃣ First → Strong green candle in an uptrend. 2️⃣ Second → Doji candle that gaps up, showing indecision. 3️⃣ Third → Strong red candle closing well below the midpoint of the first. ✅ Meaning: Bulls lose control, sellers step in → reversal likely. 📌 Example: Stock rallies ₹680 → ₹710, Doji forms at ₹715, then strong red closes ₹695 → Evening Doji Star → bearish reversal confirmed. 🧠 Rule: Confirmation improves if 3rd candle has higher volume.

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