Derry City dropped two points rather than gaining one as they were unable to see off a well drilled Dundalk, a bitterly cold Brandywell.
The Foylesiders had the Oriel Park men on the back foot for the majority of the game and in truth had enough chances to win the game.
Ruaidhrí Higgins' men were always on the front foot, with Dundalk keeper Nathan Sheppard having to make a few big saves, but they couldn't find a way through and dropped to second after Bohemians' win at St Pat's.
The home side made three changes to their side which easily saw off UCD with Ciaran Coll, Patrick McEleney and Jamie McGonigle all starting with Ronan Boyce, Brandon Kavanagh and Cian Kavanagh all dropping to the bench.
City suffered a massive injury blow on 17 minutes as Mark Connolly collapsed and held his hamstring when chasing Daniel Kelly and had to be stretchered off and replaced by Boyce.
Dundalk were inches away from taking the lead on 21 minutes but Johannes Yli-Kokko fired just wide from the edge of the box, after Ciaran Coll's poor header fell to the Finnish midfielder.
The visitors suffered an injury set-back themselves on 26 minutes as Kelly limped off and was replaced by Alfie Lewis.
Derry missed a super chance moments later as Will Patching released Jamie McGonigle, but the Dungiven man's left footed strike from 10 yards was kept out by a diving Shepperd.
Soon after another flowing move by the home side ended with Boyce's right wing cross finding McGonigle, but his powerful header at the back post sailed just over the bar.
A Patching corner on 52 minutes found Ryan Graydon at the back post, but after rising well the winger's header was back into the six yard box instead of troubling Sheppard.
Just after the hour mark City missed a glorious chance to break the deadlock as substitute Ollie O'Neill burst down the left before his cut-back found an unmarked Patching, but the ex-Dundalk man failed to connect with the cross with the goal at his mercy.
Derry continued to push forward in search of that opening goal and Sheppard made a tremendous save on 83 minutes, diving full stretch to tip away Ben Doherty's long range pile driver.
Right at the death Boyce headed wide after Doherty's inswinging corner had picked him out inside the six yard box.
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).