#BTC
Forex candlesticks
They are a type of price chart used in foreign exchange (forex) trading to show the movement of currency prices over a specific time period. Each candlestick represents four key price points for a given time frame (like 1 minute, 1 hour, or 1 day):
📊 Candlestick Components:
1. Open – The price at the start of the time period.
2. Close – The price at the end of the time period.
3. High – The highest price during that period.
4. Low – The lowest price during that period.
🕯️ Candlestick Structure:
Each candlestick has two main parts:
Part Description
Body.....the thick middle section. It shows the range between the open and close prices.
Wick/Shadow ........ The thin lines above and below the body. They show the high and low prices.
Green (or white) candle: Price went up (Close > Open)
Red (or black) candle: Price went down (Close < Open)
📌 Why Traders Use Candlesticks:
Easy to read and interpret quickly.
Show market sentiment (bullish or bearish).
Help identify trading patterns like reversals or continuations.
🔍 Common Candlestick Patterns:
Pattern Meaning
Doji .....Market. indecision; potential reversal.
Hammer.......Bullish reversal at bottom of a downtrend.
Shooting Star ........ Bearish reversal at top of an uptrend.
Engulfing....... Strong reversal signal (bullish or bearish).