Candlesticks

CandlesticksLesson 4 of 143 min read

The red candle

A red candle closed below its open, so the body is read upside down. The wicks work exactly the same.

The down candle is the same object with the open and the close swapped. Traders call it bearish, meaning price fell over the period.

What red means

A candle is red when it closed below where it opened. Price ended the period lower than it started.

Red means the close is under the open.

The body is read upside down

On a red candle, the top of the body is the open. The bottom of the body is the close.

That is the only difference from a green candle. Price started at the top of the block and finished at the bottom.

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