🟢 BULLISH CANDLE

Identifying features:

  • Green candle body (or black/brown depending on chart settings)

  • Closing price > Opening price

  • There may be an upper wick and a lower wick or not

Meaning:

  • Buying pressure is stronger than selling pressure

  • Bulls (buyers) are in control of the market

  • Bullish signal in that time frame

Tips:

  • The longer the bullish candle, the stronger the buying pressure

  • If there is no lower wick = opening price is the lowest price (stronger)

    Types of bullish candles

🔴 BEARISH CANDLE

Identifying features:

  • Red candle body

  • Closing price < Opening price

  • There may be an upper wick and a lower wick or not

Meaning:

  • Selling pressure is stronger than buying pressure

  • Bears (sellers) are in control of the market

  • Bearish signal in that time frame

Tips:

  • The longer the bearish candle, the stronger the sell-off

  • If there is no upper wick = opening price is the highest price (stronger)

Types of bearish candles

(to be continued)