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What Is a Candlestick?
Each candlestick shows price action for a specific time period (for example: 1 minute, 1 hour, 1 day).
It tells you four things:
Open – Price at the start
Close – Price at the end
High – Highest price reached
Low – Lowest price reached
Together, these show how price moved.
🔹 2. Parts of a Candlestick
✅ Real Body (Middle Part)
The thick part is called the body.
It shows the distance between:
Open and Close
Big body = strong movement
Small body = weak movement / indecision
✅ Shadows / Wicks (Thin Lines)
These are the lines above and below the body.
Upper Shadow → How high price went
Lower Shadow → How low price went
Long shadows = price was rejected
Short shadows = strong control
🔹 3. Green Candle = Bullish 📈 (Price Went Up)
On the left (Green):
Open = Bottom of body
Close = Top of body
Price closed higher than it opened
Meaning: 👉 Buyers are stronger
👉 Market is bullish
🔹 4. Red Candle = Bearish 📉 (Price Went Down)
On the right (Red):
Open = Top of body
Close = Bottom of body
Price closed lower than it opened
Meaning: 👉 Sellers are stronger
👉 Market is bearish
🔹 5. High and Low
The top of the wick = High
The bottom of the wick = Low
This shows the full range of price movement in that time.
🔹 6. How Traders Use This
By looking at candles, traders understand:
✅ Who is in control (buyers or sellers)
✅ Market strength
✅ Possible reversals
✅ Entry & exit points
Example:
Big green candle → Strong buying
Big red candle → Strong selling
Small body + long wicks → Confusion / possible reversal
🔹 Simple Summary
Color
Meaning
Market
Green
Price Up
Bullish 📈
Red
Price Down
Bearish 📉
Part
Shows
Body
Open → Close
Wick
High → Low
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