What is a candlestick?

A candlestick is a form of technical analysis price chart that shows the high, low, open, and closing values of securities over time. It was developed hundreds of years ago by Japanese rice merchants and traders to watch market prices and daily momentum before becoming popular in the United States. The “true body” is the broad area of the candlestick that shows investors whether the stock closed higher or lower than it opened (black/red if the stock ended lower, white/green if the stock ended higher).

Candle sticks represent the performance for the day… it has 4 points mapped. The box represented day start and day close (if red then close lowers than open) and of green then the lower was open and higher is close.

And the wicks show you the highest point and the lowest point in the day. Like if the top wick is really long, it’s like the price went quite high but was unable to retain that till the days close and closed lower eventually.