๐ Basic Candlestick Structure:
1. Body: The thick part of the candle.
Shows the range between open and close prices.
Green Candle: Price closed higher than it opened.
Red Candle: Price closed lower than it opened.
2. Wicks (or Shadows):
Upper Wick: Line above the body โ shows highest price reached.
Lower Wick: Line below the body โ shows lowest price reached.
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๐ฉ Green Candle (Bullish):
Open price is at the bottom of the body.
Close price is at the top of the body.
๐ฅ Red Candle (Bearish):
Open price is at the top of the body.
Close price is at the bottom of the body.
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๐ Price Rejection Indicators:
4. Upper Wick Long = Price Rejection at High:
Market attempted to go higher but was pushed down.
Indicates selling pressure/resistance.
5. Lower Wick Long = Price Rejection at Low:
Market attempted to go lower but was pushed up.
Indicates buying pressure/support.
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โ ๏ธ Key Insights:
6. Rejection Wicks:
Signal potential reversal or loss of momentum in the current trend.
Shown with the phrase: โThe market rejects price above/below this point.โ
7. Clusters of Wicks at the same level can indicate strong support/resistance zones.