Question 1

What four prices does a candlestick show?

Accepted Answer

Every candlestick shows the open, the high, the low, and the close for one period of trading. Those four values are often shortened to OHLC.

Question 2

What is the difference between the body and the wick?

Accepted Answer

The body is the thick rectangle drawn between the open and the close. The wicks are the thin lines that reach up to the high and down to the low. The body shows where price settled; the wicks show how far it stretched.

Question 3

How can I tell a bullish candle from a bearish one?

Accepted Answer

A bullish candle closes above where it opened and is usually green or hollow. A bearish candle closes below where it opened and is usually red or filled. The words just describe up or down for that period; they do not predict the next move.

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