Let's analyze the 1-minute chart of the $BOB token, several long candles are observed, both bullish and bearish:
What do long candles indicate?
1. High short-term volatility:
• Candles with large bodies and wide wicks, indicating rapid and strong price movements in just 1-minute intervals.
• For example, a long green candle with an upper wick tells us that there was strong buying pressure, but also some rejection near the high.
2. Volume spikes:
• Just below the chart, there are very high volume bars (VOL), confirming that those long candles occurred with high buying/selling activity.
• This may be due to news, entry of a "whale," or a speculative trend.
3. Long red candles (like the last one on the chart):
• They represent aggressive selling. In this case, the price dropped quickly from around 0.000000064380 to 0.000000064015 in one minute, indicating a possible profit-taking or short-term panic.
What can you do?
• Do not trade on impulse: In 1-minute time frames, movements are very rapid and volatile. Ideal for scalping, but very risky without experience.
• Watch the volume: If you see a long candle without high volume, it could be a trap. But if both the candle and volume are high, the movement is more real.
• Wait for confirmation: If you are trading, wait for a second or third candle to form that confirms the direction (continuation or retracement).