What each candle tells you
Beginner · 1 min
The colour gives you the direction and the size gives you the conviction.
Once you can name the parts, the useful step is reading proportion. A candle is not just up or down — it also says how one-sided the day was, and that is usually the more interesting half.
| What you see | What happened that day |
|---|---|
| A long body, almost no wicks | One side was in control from open to close |
| A tiny body, long wicks both ends | A lot of movement, and no agreement at all |
| A long wick below, body near the top | Sellers pushed it down and buyers took it all back |
| A long wick above, body near the bottom | Buyers pushed it up and could not hold it |
None of this is a forecast. It is a description of an argument that has already finished. What it gives you is a sense of who was winning at the close, which is worth more than the colour on its own.
Try this in the app
- Research — open a share and read its chart