The Candystripes had the Oriel Park men on the back foot for most of the game and had enough chances to win the game remain at the top of the league.
The visitors threatened in the early stages while Derry applied most of the pressure after the break.
Jamie McGonigle and Ronan Boyce both went close to breaking the deadlock for the Candystripes.
The stalemate meant Bohemians leapfrogged Derry at the top of the table by beating St Pat’s.
Bohs’ 2-0 away victory moves them to a point ahead of Ruaidhrí Higgins’ men at the summit.
After back-to-back wins away in Dublin, Derry welcomed Dundalk to Foyleside with the Lilywhites arriving off the back of successive wins themselves.
The travelling side started brightly and provided an early scare when Pat Hoban headed goalward.
Ruaidhri Higgins then lost Mark Connolly through a serious injury as he was stretchered off in the first half.
Derry applied constant pressure on the Dundalk goal after the interval but failed to carve out much by way of clear-cut chances.
Winger Ben Doherty forced Nathan Sheppard into a tremendous fingertip save in the 84th minute while Ronan Boyce headed wide from the resulting corner.
Derry City: Maher, Coll, Connolly (Boyce 17), S McEleney, Doherty; P McEleney, Diallo, Patching, McEneff (O’Neill 54); Graydon, McGonigle (C Kavanagh 75).
Dundalk: Sheppard, Davies, Muller, Boyle, Leahy; Sloggett, Yli-Kokko (O’Kane 70), Malley (Martin 59); Kelly (Lewis 26), Hoban (Elliott 70), Tulloch (Benson 70).
Referee: Rob Hennessy (Dublin).Tags: