| Candlesticks have grown in popularity considerably | | | | previous day's close was $25 and today it closes at |
| over the last decade and a bit and originally a guy by | | | | $24 resulting in a red candle. |
| the name of Steve Nison introduced them to the | | | | A greed candlestick |
| western world. Whilst the scope of candlestick | | | | A green candlestick usually refers to a positive day |
| charting is extremely wide and varied we are going | | | | relative to teh previous trading day. For example the |
| to concentrate on what does a solid candlestick | | | | stock you are trading might have closed yesterday |
| mean when looking at the charts. | | | | at $30 and today it closed at $31 resulting in a green |
| The first thing you'll note about candlesticks is that | | | | candle. |
| you can have open and solid candle and you usually | | | | An open red candlestick |
| have different colour candlesticks too, namely red | | | | An open red candlestick may be new to most people |
| and green. | | | | as their charting program may not have the |
| An Open Candlestick | | | | functionality or depth to show these candles. An |
| An open candlestick simply means that the closing | | | | open red candlestick simply means the closing price |
| price for the day closed higher than where it opened | | | | today is lower than the close of yesterday but the |
| at, resulting in a rise in the share price between the | | | | closing price today is higher than the opening of the |
| open and the close. | | | | day. |
| A Solid candlestick | | | | A solid green candlestick |
| A solid candlestick means that the closing price for | | | | A solid green candlestick shows us that the closing |
| the day closed lower than where it opened at, | | | | price today is higher than the closing price of |
| resulting in a fall in the share price between the open | | | | yesterday but the closing price today is lower than |
| and close. | | | | the opening price of the day. So as you can see, |
| A red candlestick | | | | candlesticks can paint a very impressive and graphical |
| A red candlestick usually refers to a down day | | | | picture and once you get used to them you'll be able |
| relative to the previous trading day. For example the | | | | to see some advanced patterns to profit from. |