How To Read A Candlestick Chart. Reading candlestick charts provide a lot of information about how the security has moved and just like the bars in a bar chart each candlestick represents the price movement for the specified period. The real body is white if the close is higher than the open.
1 For example if the trader set the time frame to five minutes a new candlestick will be created every five minutes. Theres three steps to identifying a trend on a candlestick chart and theyre quite simple. How to Read Candlestick chart patterns.
The lines stretching from the top and bottom of the body are the wicks.
Note that the market price is going up if the candlestick is green or blue. Candlestick charts show the changes in the prices of a stock. In trading circles it is said Bhaav Bhagwan hai. Set the chart type to candlestick and select a one-minute time frame so youll have lots of candlesticks to look at.