Definition and example
A candle groups a period’s prices: its body connects open and close, while wicks display extremes. Colours depend on configuration and do not by themselves add a prediction.
Synthetic example: an open of 100, high of 103, low of 98 and close of 101 describe a five-point range and one-point body. They do not reveal the full path or which extreme happened first. An open candle continues changing. Check duration and scale before comparing candles; one candle cannot establish participant intention or future movement.
Sources and references
Chezur examples and explanations are educational. Consult the original source to verify conditions, data and updates.
Context and review of this explanation
What do a candle’s open, high, low and close represent?
- Topics
- Chart reading
- Level
- Beginner
- Skills
- Describe a chart
- Examples
- Hypothetical situations illustrating the concept.
- Specialist review
- Not documented for this edition. Automated structure and internal-link checks do not establish specialist review.