Body
The body shows where price opened and closed during the timeframe.
Charting Basics · Lesson 1
How to read candlesticks
Candlesticks show how price moves over time. Each candle reveals the balance between buyers and sellers. Understanding candles is the foundation of chart analysis.
Wicks
Wicks show the highest and lowest price reached within the period.
Color
Green candles show upward movement, red candles show downward movement.
What candles represent
A candle is a snapshot of price behaviour. It shows whether buyers or sellers were stronger during that period. Long bodies suggest strong movement. Long wicks suggest rejection or uncertainty.
Reading strength and weakness
Strong bullish candles close near their highs. Strong bearish candles close near their lows. Weak candles often have long wicks and small bodies, showing indecision.
Candles in context
A single candle means little on its own. Always read candles within trend, levels, and structure.
Common mistake
Beginners often overinterpret individual candles. Patterns matter more when they align with structure and trend.
Apply this in real market conditions
Use Coinstrooper’s live market tools to connect this lesson with real crypto data.
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