Candlestick Chart
Visual price chart using Japanese candlesticks.
Beginner-friendly explanation
A candlestick chart shows how an asset's price moves using colored candles. Each candle represents a time period (e.g., 1h, 1d) and shows whether price went up or down.
Example:
On a 4h chart, each candlestick shows price changes during those 4 hours.
Intermediate-level insight
Each candlestick displays four key data points: open, close, high, and low. This chart type is favored by traders for its rich visual information.
Example:
A candle with a small body and a long upper wick signals price rejection to the downside.
Advanced perspective
Candlestick charts offer contextual insight into market flows. They’re used to detect patterns (doji, hammer…), combine with indicators, or build algorithmic trading systems.
Example:
A scalping system spots bullish engulfings on 5min charts along with rising RSI.
Technical & Chart Analysis
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