Candleread

Reading charts

How do you read a candlestick chart?

Each candle shows four prices for one slice of time: where price opened, the highest it went, the lowest it went and where it closed.

The thick part is the body. It goes from the open to the close. The thin lines above and below are the wicks. They show how far price stretched before it was pushed back.

A green (or hollow) candle closed higher than it opened. A red (or filled) candle closed lower.

One candle is a clue, not an answer. Candles mean more when you read them next to the trend and nearby support or resistance.

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This is taught in Grade 3: Chart Class.

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Reviewed 2026-10-04. Education only, not financial advice. Trading involves risk of loss.