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What are Candlesticks in forex | Class 101
Candlesticks are a visual representation of price movements in financial markets, commonly used in technical analysis. Each candlestick encapsulates the opening, closing, high, and low prices within a specified time frame for an asset. The candlestick's body is colored or shaded to signify whether the closing price is higher (bullish) or lower (bearish) than the opening price. Wicks or shadows extend above and below the body, indicating the highest and lowest prices reached during the timeframe. Traders and analysts utilize candlestick patterns, such as doji or engulfing patterns, to assess market sentiment and predict potential future price trends based on historical price behavior.
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