Every candle tells you what happened during its time period: one minute, one hour, one day.
- Body: the thick part, from open to close.
- Wicks (shadows): the thin lines showing the high and low.
- Bullish candle: close above open (usually green).
- Bearish candle: close below open (usually red).
Wick says
Hi! I'm Wick. Yes, I'm literally a candlestick. My antenna is my upper wick. I'll be your guide through this level.
Reading the story
A long green body: buyers pushed hard all period. A long upper wick: buyers tried higher, sellers slapped them back down. Every candle is a mini tug-of-war, and the body shows who won.
Fun fact
Candlestick charting is credited to Japanese rice traders in the 1700s. Western traders only started using them widely in the 1990s.
Key takeaways
- A candle shows open, high, low and close.
- Green/bullish closes higher; red/bearish closes lower.
- Body = who won; wicks = what got rejected.