@setec

The error you're receiving is telling you that NGINX isn't able to connect to the Ghost installation that you're proxying to (i.e. the upstream), so the issue most likely isn't with NGINX here, rather, Ghost.

Are you receiving any errors or warnings during the Ghost upgrade? What version of NodeJS are you currently running? Last I recall, Ghost only supports 4.x and 6.x, so if you're running a version other than those two, that may also be the issue.

What I would recommend, temporarily, is stopping NGINX using:

service nginx stop

or

systemctl stop nginx

Then modifying your config file to use your Droplet's Public IP and restart Ghost, then try to access it using port 2368. See if that works, or if you receive an error. If you receive an error, we can be 100% sure that it's Ghost and not NGINX.

I recommend this as NGINX is basically taking a request on port 80 and relaying it to the Ghost port when you're using proxy_pass. It'll pass on headers and details of the connection, but beyond that, NGINX terminates the request there and Ghost picks up.

The node version v4.4.3. I think we can rule out node being incompatible with ghost since ghost 0.7.9 works fine and also this is Digital Ocean's ghost one click install image and I doubt they would select the wrong version of node.

I don't think there's any question that the problem is ghost and not nginx since everything works with version 0.7.9 but not 0.11.1 and I'm not changing anything at all with nginx. However, doing what suggest results in a connection timeout:

The connection has timed out

The server at [IP] is taking too long to respond.

    The site could be temporarily unavailable or too busy. Try again in a few moments.
    If you are unable to load any pages, check your computer’s network connection.
    If your computer or network is protected by a firewall or proxy, make sure that Firefox is permitted to access the Web.

There were warnings but the ghost upgrade instructions say warnings are not a problem. Here are the warnings:

root@ghost:/var/www/ghost-new# npm install --production
npm WARN cannot run in wd ghost@0.11.7 node core/server/utils/npm/preinstall.js (wd=/var/www/ghost-new)
npm WARN peerDependencies The peer dependency knex@>=0.6.10 <0.13.0 included from bookshelf will no
npm WARN peerDependencies longer be automatically installed to fulfill the peerDependency 
npm WARN peerDependencies in npm 3+. Your application will need to depend on it explicitly.

> jsonpath@0.2.9 postinstall /var/www/ghost-new/node_modules/jsonpath
> node lib/aesprim.js > generated/aesprim-browser.js


> knex@0.12.5 postinstall /var/www/ghost-new/node_modules/knex
> node ./scripts/build.js lib "npm run build"


> sqlite3@3.1.8 install /var/www/ghost-new/node_modules/sqlite3
> node-pre-gyp install --fallback-to-build

[sqlite3] Success: "/var/www/ghost-new/node_modules/sqlite3/lib/binding/node-v46-linux-x64/node_sqlite3.node" is installed via remote
|
> dtrace-provider@0.6.0 install /var/www/ghost-new/node_modules/gscan/node_modules/ghost-ignition/node_modules/bunyan/node_modules/dtrace-provider
> node scripts/install.js

domelementtype@1.3.0 node_modules/domelementtype

ini@1.3.4 node_modules/ini

normalize-path@2.0.1 node_modules/normalize-path

lodash.defaults@4.2.0 node_modules/lodash.defaults

object-assign@4.1.0 node_modules/object-assign

lodash.merge@4.6.0 node_modules/lodash.merge

inherits@2.0.3 node_modules/inherits

on-headers@1.0.1 node_modules/on-headers

vary@1.1.0 node_modules/vary

passport-oauth2-client-password@0.1.2 node_modules/passport-oauth2-client-password

passport-http-bearer@1.0.1 node_modules/passport-http-bearer

passport-strategy@1.0.0 node_modules/passport-strategy

graceful-fs@4.1.11 node_modules/graceful-fs

connect-slashes@1.3.1 node_modules/connect-slashes

pg-connection-string@0.1.3 node_modules/pg-connection-string

semver@5.3.0 node_modules/semver

xtend@4.0.1 node_modules/xtend

json-stringify-safe@5.0.1 node_modules/json-stringify-safe

rss@1.2.2 node_modules/rss

extend@3.0.0 node_modules/extend

xml@1.0.1 node_modules/xml

depd@1.1.0 node_modules/depd

generic-pool@2.4.2 node_modules/generic-pool

uuid@3.0.0 node_modules/uuid

entities@1.1.1 node_modules/entities

domutils@1.5.1 node_modules/domutils

cors@2.8.1 node_modules/cors

image-size@0.5.1 node_modules/image-size

node-uuid@1.4.7 node_modules/node-uuid

dom-serializer@0.1.0 node_modules/dom-serializer
└── domelementtype@1.1.3

ghost-gql@0.0.6 node_modules/ghost-gql

once@1.3.3 node_modules/once
└── wrappy@1.0.2

on-finished@2.3.0 node_modules/on-finished
└── ee-first@1.1.1

sanitize-html@1.14.1 node_modules/sanitize-html
└── regexp-quote@0.0.0

combined-stream@1.0.5 node_modules/combined-stream
└── delayed-stream@1.0.0

bcryptjs@2.4.3 node_modules/bcryptjs

commander@2.9.0 node_modules/commander
└── graceful-readlink@1.0.1

generate-object-property@1.2.0 node_modules/generate-object-property
└── is-property@1.0.2

iconv-lite@0.4.15 node_modules/iconv-lite

isobject@2.1.0 node_modules/isobject
└── isarray@1.0.0

mime-types@2.1.13 node_modules/mime-types
└── mime-db@1.25.0

passport@0.3.2 node_modules/passport
└── pause@0.0.1

downsize@0.0.8 node_modules/downsize
└── xregexp@2.0.0

nan@2.4.0 node_modules/nan

chalk@1.1.3 node_modules/chalk
├── escape-string-regexp@1.0.5
├── supports-color@2.0.0
├── ansi-styles@2.2.1
├── strip-ansi@3.0.1 (ansi-regex@2.1.1)
└── has-ansi@2.0.0 (ansi-regex@2.1.1)

bluebird@3.4.7 node_modules/bluebird

path-match@1.2.4 node_modules/path-match
├── path-to-regexp@1.7.0 (isarray@0.0.1)
└── http-errors@1.4.0 (inherits@2.0.1, statuses@1.3.1)

moment-timezone@0.5.9 node_modules/moment-timezone

form-data@2.1.2 node_modules/form-data
└── asynckit@0.4.0

morgan@1.7.0 node_modules/morgan
├── basic-auth@1.0.4
└── debug@2.2.0 (ms@0.7.1)

cookie-session@1.2.0 node_modules/cookie-session
├── cookies@0.5.0 (keygrip@1.0.1)
└── debug@2.2.0 (ms@0.7.1)

validator@6.2.1 node_modules/validator

optimist@0.6.1 node_modules/optimist
├── wordwrap@0.0.3
└── minimist@0.0.10

fs-extra@2.0.0 node_modules/fs-extra
└── jsonfile@2.4.0

cheerio@0.22.0 node_modules/cheerio
├── lodash.pick@4.4.0
├── lodash.foreach@4.5.0
├── lodash.flatten@4.4.0
├── lodash.assignin@4.2.0
├── lodash.bind@4.2.1
├── lodash.filter@4.6.0
├── lodash.map@4.6.0
├── lodash.reduce@4.6.0
├── lodash.reject@4.6.0
├── lodash.some@4.6.0
└── css-select@1.2.0 (boolbase@1.0.0, css-what@2.1.0, nth-check@1.0.1)

glob@5.0.15 node_modules/glob
├── path-is-absolute@1.0.1
├── inflight@1.0.6 (wrappy@1.0.2)
├── once@1.4.0 (wrappy@1.0.2)
└── minimatch@3.0.3 (brace-expansion@1.1.6)

bl@1.2.0 node_modules/bl
└── readable-stream@2.2.3 (buffer-shims@1.0.0, string_decoder@0.10.31, process-nextick-args@1.0.7, util-deprecate@1.0.2, core-util-is@1.0.2, isarray@1.0.0)

compression@1.6.2 node_modules/compression
├── bytes@2.3.0
├── compressible@2.0.9 (mime-db@1.26.0)
├── debug@2.2.0 (ms@0.7.1)
└── accepts@1.3.3 (negotiator@0.6.1, mime-types@2.1.14)

body-parser@1.16.0 node_modules/body-parser
├── content-type@1.0.2
├── bytes@2.4.0
├── qs@6.2.1
├── raw-body@2.2.0 (unpipe@1.0.0)
├── http-errors@1.5.1 (setprototypeof@1.0.2, statuses@1.3.1)
├── debug@2.6.0 (ms@0.7.2)
└── type-is@1.6.14 (media-typer@0.3.0, mime-types@2.1.14)

netjet@1.1.3 node_modules/netjet
├── lodash.unescape@4.0.1
├── lru-cache@4.0.2 (pseudomap@1.0.2, yallist@2.0.0)
├── posthtml@0.9.2 (posthtml-parser@0.2.1, posthtml-render@1.0.6)
└── hijackresponse@2.0.1

oauth2orize@1.7.0 node_modules/oauth2orize
├── uid2@0.0.3
├── utils-merge@1.0.0
└── debug@2.6.1 (ms@0.7.2)

htmlparser2@3.9.2 node_modules/htmlparser2
├── domhandler@2.3.0
└── readable-stream@2.2.3 (buffer-shims@1.0.0, string_decoder@0.10.31, process-nextick-args@1.0.7, util-deprecate@1.0.2, core-util-is@1.0.2, isarray@1.0.0)

express@4.14.1 node_modules/express
├── escape-html@1.0.3
├── array-flatten@1.1.1
├── cookie-signature@1.0.6
├── utils-merge@1.0.0
├── content-type@1.0.2
├── encodeurl@1.0.1
├── methods@1.1.2
├── merge-descriptors@1.0.1
├── path-to-regexp@0.1.7
├── content-disposition@0.5.2
├── cookie@0.3.1
├── etag@1.7.0
├── fresh@0.3.0
├── parseurl@1.3.1
├── range-parser@1.2.0
├── serve-static@1.11.2
├── qs@6.2.0
├── finalhandler@0.5.1 (unpipe@1.0.0, statuses@1.3.1)
├── debug@2.2.0 (ms@0.7.1)
├── proxy-addr@1.1.3 (forwarded@0.1.0, ipaddr.js@1.2.0)
├── type-is@1.6.14 (media-typer@0.3.0, mime-types@2.1.14)
├── send@0.14.2 (ms@0.7.2, destroy@1.0.4, statuses@1.3.1, mime@1.3.4, http-errors@1.5.1)
└── accepts@1.3.3 (negotiator@0.6.1, mime-types@2.1.14)

superagent@3.4.1 node_modules/superagent
├── component-emitter@1.2.1
├── methods@1.1.2
├── cookiejar@2.1.0
├── mime@1.3.4
├── formidable@1.1.1
├── qs@6.3.1
├── debug@2.6.1 (ms@0.7.2)
└── readable-stream@2.2.3 (buffer-shims@1.0.0, string_decoder@0.10.31, process-nextick-args@1.0.7, util-deprecate@1.0.2, core-util-is@1.0.2, isarray@1.0.0)

extract-zip-fork@1.5.1 node_modules/extract-zip-fork
├── debug@0.7.4
├── yauzl@2.4.1 (fd-slicer@1.0.1)
├── mkdirp@0.5.0 (minimist@0.0.8)
└── concat-stream@1.5.0 (typedarray@0.0.6, readable-stream@2.0.6)

pg@6.1.2 node_modules/pg
├── packet-reader@0.2.0
├── pg-pool@1.6.0
├── buffer-writer@1.0.1
├── semver@4.3.2
├── pg-types@1.11.0 (postgres-bytea@1.0.0, postgres-array@1.0.2, postgres-interval@1.0.2, postgres-date@1.0.3, ap@0.2.0)
└── pgpass@1.0.1 (split@1.0.0)

bookshelf@0.10.2 node_modules/bookshelf
├── create-error@0.3.1
└── inflection@1.12.0

csv-parser@1.11.0 node_modules/csv-parser
├── generate-function@1.1.0
├── minimist@1.2.0
└── ndjson@1.5.0 (split2@2.1.1, through2@2.0.3)

showdown-ghost@0.3.6 node_modules/showdown-ghost

unidecode@0.1.8 node_modules/unidecode

amperize@0.3.4 node_modules/amperize
├── emits@3.0.0
└── async@2.1.4

html-to-text@3.1.0 node_modules/html-to-text
├── underscore@1.8.3
├── he@1.1.1
└── underscore.string@3.3.4 (util-deprecate@1.0.2, sprintf-js@1.0.3)

multer@1.3.0 node_modules/multer
├── object-assign@3.0.0
├── append-field@0.1.0
├── type-is@1.6.14 (media-typer@0.3.0, mime-types@2.1.14)
├── mkdirp@0.5.1 (minimist@0.0.8)
├── concat-stream@1.6.0 (typedarray@0.0.6, readable-stream@2.2.3)
└── busboy@0.2.14 (readable-stream@1.1.14, dicer@0.2.5)

archiver@1.3.0 node_modules/archiver
├── buffer-crc32@0.2.13
├── tar-stream@1.5.2 (end-of-stream@1.1.0)
├── walkdir@0.0.11
├── archiver-utils@1.3.0 (lazystream@1.0.0)
├── readable-stream@2.2.3 (buffer-shims@1.0.0, string_decoder@0.10.31, process-nextick-args@1.0.7, util-deprecate@1.0.2, core-util-is@1.0.2, isarray@1.0.0)
├── glob@7.1.1 (path-is-absolute@1.0.1, fs.realpath@1.0.0, inflight@1.0.6, once@1.4.0, minimatch@3.0.3)
├── async@2.1.5
└── zip-stream@1.1.1 (compress-commons@1.1.0)

intl-messageformat@1.3.0 node_modules/intl-messageformat
└── intl-messageformat-parser@1.2.0

moment@2.17.1 node_modules/moment

mysql@2.1.1 node_modules/mysql
├── require-all@0.0.3
├── readable-stream@1.1.14 (string_decoder@0.10.31, isarray@0.0.1, core-util-is@1.0.2)
└── bignumber.js@1.0.1

jsonpath@0.2.9 node_modules/jsonpath
├── underscore@1.7.0
├── esprima@1.2.2
├── static-eval@0.2.3 (escodegen@0.0.28)
└── jison@0.4.13 (jison-lex@0.2.1, lex-parser@0.1.4, cjson@0.2.1, ebnf-parser@0.1.10, esprima@1.0.4, nomnom@1.5.2, escodegen@0.0.21, JSONSelect@0.4.0)

knex@0.12.5 node_modules/knex
├── tildify@1.0.0
├── v8flags@2.0.11
├── interpret@0.6.6
├── user-home@1.1.1
├── minimist@1.1.3
├── debug@2.6.1 (ms@0.7.2)
├── readable-stream@1.1.14 (string_decoder@0.10.31, isarray@0.0.1, core-util-is@1.0.2)
├── mkdirp@0.5.1 (minimist@0.0.8)
└── liftoff@2.2.5 (rechoir@0.6.2, flagged-respawn@0.3.2, resolve@1.3.2, findup-sync@0.4.3)

express-hbs@1.0.4 node_modules/express-hbs
├── readdirp@2.1.0 (set-immediate-shim@1.0.1, readable-stream@2.2.3, minimatch@3.0.3)
├── js-beautify@1.6.8 (nopt@3.0.6, config-chain@1.1.11, mkdirp@0.5.1, editorconfig@0.13.2)
└── handlebars@4.0.6 (async@1.5.2, source-map@0.4.4, uglify-js@2.8.4)

intl@1.2.5 node_modules/intl

lodash@4.17.4 node_modules/lodash

nodemailer@0.7.1 node_modules/nodemailer
├── public-address@0.1.2
├── directmail@0.1.8
├── he@0.3.6
├── readable-stream@1.1.14 (string_decoder@0.10.31, isarray@0.0.1, core-util-is@1.0.2)
├── simplesmtp@0.3.35 (xoauth2@0.1.8, rai@0.1.12)
├── mailcomposer@0.2.12 (mime@1.2.11, dkim-signer@0.1.2, follow-redirects@0.0.3, mimelib@0.2.19)
└── aws-sdk@2.0.5 (xmlbuilder@0.4.2, aws-sdk-apis@3.1.10, xml2js@0.2.6)

sqlite3@3.1.8 node_modules/sqlite3

gscan@0.2.0 node_modules/gscan
├── package-json-validator@0.6.0
├── require-dir@0.1.0
├── chalk@1.1.1 (supports-color@2.0.0, escape-string-regexp@1.0.5, ansi-styles@2.2.1, has-ansi@2.0.0, strip-ansi@3.0.1)
├── bluebird@3.4.6
├── fs-extra@0.26.2 (path-is-absolute@1.0.1, rimraf@2.6.1, jsonfile@2.4.0, klaw@1.3.1)
├── glob@7.0.5 (path-is-absolute@1.0.1, fs.realpath@1.0.0, inflight@1.0.6, once@1.4.0, minimatch@3.0.3)
├── express@4.14.0 (escape-html@1.0.3, array-flatten@1.1.1, utils-merge@1.0.0, cookie-signature@1.0.6, merge-descriptors@1.0.1, methods@1.1.2, encodeurl@1.0.1, content-type@1.0.2, fresh@0.3.0, parseurl@1.3.1, path-to-regexp@0.1.7, content-disposition@0.5.1, range-parser@1.2.0, cookie@0.3.1, etag@1.7.0, qs@6.2.0, debug@2.2.0, finalhandler@0.5.0, proxy-addr@1.1.3, send@0.14.1, accepts@1.3.3, type-is@1.6.14, serve-static@1.11.2)
├── multer@1.1.0 (object-assign@3.0.0, append-field@0.1.0, type-is@1.6.14, mkdirp@0.5.1, concat-stream@1.6.0, busboy@0.2.14)
├── lodash@3.10.1
├── express-hbs@1.0.3 (readdirp@2.1.0, js-beautify@1.6.4, handlebars@4.0.6)
└── ghost-ignition@1.0.0 (caller@1.0.1, find-root@1.0.0, debug@2.2.0, prettyjson@1.1.3, nconf@0.8.4, bunyan@1.8.1, moment@2.15.2, lodash@4.16.4)

babel-runtime@6.23.0 node_modules/babel-runtime
├── regenerator-runtime@0.10.3
└── core-js@2.4.1

It seems that the problem was the theme. Before doing the log test you suggested I finally upgraded the theme. I hesitated because the documentation made it sound optional and I wasn't sure if I'd modified the theme or not.

So I think we can conclude that Casper 1.2.8 does not work on Ghost 0.11.1. The documentation could be clearer, they make it sound like upgrading the theme is optional.

I reported it to the support team and they said that some of the documentation may be out of date. They are planning to review and update after the release of ghost v1.0.