Candlestick
Also called: candlestick chart, candle, candles
A way of drawing a session's open, high, low and close, with a body between open and close and wicks reaching to the high and low.
A rising candle is usually green or hollow, a falling one red or filled. Long wicks show prices that were reached and rejected; a small body shows little net change. A candle describes one session accurately but predicts the next only weakly.
Learn more in these lessons
- Understanding price chartsWhat does a stock price chart actually show?
- Candlesticks and chart timeframesHow do you read a candlestick, and why does the timeframe matter?
- Candlestick formationsDo candlestick patterns predict price reversals?
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