🕯️ What is a Candlestick Chart?
🕯️ What is a Candlestick Chart?
A candlestick chart is the most popular way to visualize price movement in crypto, stocks, or any tradable asset.
Each "candle" shows what happened to the price in a specific time period — like 1 minute, 1 hour, or 1 day.
🧱 Anatomy of a Candle
Each candlestick shows:
Open → where the price started
Close → where the price ended
High → the highest price during that time
Low → the lowest price during that time
📊 Visual:
If the candle is green (or white) → price went up (close > open)
If the candle is red (or black) → price went down (close < open)
⌛ Timeframes
You can view candles on any time setting:
1m, 5m, 15m
Short-term (scalping/intraday trades)
1h, 4h
Mid-term (swing trades)
1D, 1W
Long-term analysis
📌 A 1-hour chart = every candle shows 1 hour of price action.
🔍 Why Use Candlestick Charts?
They give more info than line charts
Easy to spot patterns (wicks, bodies, gaps)
You can read market psychology (bullish/bearish pressure)
🧠 Quick Examples
Long wick at the top = sellers pushed price down
Long wick at the bottom = buyers pushed price up
Small body + long wicks = indecision in the market
🤖 How Mandalyze AI Uses Candlesticks
Mandalyze AI detects patterns in candle structure, like:
Reversals (Doji, Hammer, Engulfing)
Continuations (Inside bars, Breakouts)
Volume + candle correlations
It helps you understand what’s happening behind the price.
🧪 In Summary
Candlestick charts are the foundation of visual technical analysis. Master them, and you’ll read the market like a language.
🕯 One candle can tell you more than 100 tweets.
🧭 Next Lesson: Moving Averages (SMA vs EMA)
Last updated