Technical AnalysisBeginner
Candlestick
A chart bar showing the open, high, low and close for one time period.
Detailed explanation
The body spans open to close, and the wicks show the extremes reached during the period. A long lower wick means sellers pushed price down but buyers reclaimed it. Patterns are read in context of the prevailing trend, never in isolation.
Example
Open ₹100, high ₹108, low ₹99, close ₹107 draws a tall green body with a short lower wick — buyers dominated.
Why it matters
Candlesticks compress the tug-of-war between buyers and sellers into a single readable shape.
Key points
- Body colour shows direction; wick length shows rejection.
- Patterns need trend context and volume confirmation.
- Higher timeframes produce more reliable signals.
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Educational content only. Definitions and examples are illustrative and are not investment, tax or legal advice.