The candlesticks were used by rice traders 400 years in Japan.
To understand the candle sticks you require the basic knowledge of demand and supply.
Its very effective for short term users because of the reversible trend.
If the close is above the open, then a hollow candlestick (usually displayed as white) is drawn.
If the close is below the open, then a filled candlestick (usually displayed as black) is drawn.
The hollow or filled section of the candlestick is called the “real body” or body.
The thin lines poking above and below the body display the high/low range and are called shadows.
The top of the upper shadow is the “high”.
The bottom of the lower shadow is the “low”.
The Candlestick Analysis for effective trading.
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