One advantage of using a Doji candlestick pattern is a trader more easily determine the level of stop loss. Stop loss level can be placed a few pips above the high price or a few pips below the low price of Doji candlestick.
As an example chart below. Prices go down close to the line 200 SMA Simple Moving Average then appears Doji candlestick. Doji candlestick indicates the emergence of a potential trend turning from down to up. Traders can open a buy position with stop loss below the level of low price doji candlestick.
Although this strategy does not guarantee 100% profit, but this strategy gives the exact value between risk and reward ratio.
