SUNIL’S CANDLE STICK ANALYSIS

Candlestick charts originated in Japan over 100 years. Candlesticks show that emotion by visually representing the size of price moves with different colors. Traders use the candlesticks to make trading decisions based on regularly occurring patterns that help forecast the short-term direction of the price.Just like a bar chart, a daily candlestick shows the market’s open, high, low and close price for the day. The candlestick has a wide part, which is called the “real body.” This real body represents the price range between the open and close of that day’s trading. When the real body is filled in or black, it means the close was lower than the open. If the real body is empty, it means the close was higher than the open. Bar charts and candlestick charts show the same information, just in a different way. Candlestick charts are more visual, due to the color coding of the price bars and thicker real bodies, which are better at highlighting the difference between the open and the close.