🟩 Components of the green candle (bullish)

High

│

│

┌─────┐ ← Close (the price closed higher)

│ │

│ │

└─────┘ ← Open (the price started from the low)

│

Low



  • Open at the bottom of the body.


  • Close at the top of the body.


  • Shadows (wicks) show the highest and lowest level reached during the period.





🟥 Components of the red candle (bearish)


High

│

┌─────┐ ← Open (the price started from the high)

│ │

│ │

└─────┘ ← Close (the price closed lower)

│

Low



  • Open at the top of the body.


  • Close at the bottom of the body.


  • Shadows show the highest and lowest price during the time period.






🌟 Additional notes:


  • Long shadows = indicate strong rejection of the price (failed attempt to hold the price level).


  • Large body = indicates strength of movement in either direction (up or down).