Simply put, a candlestick chart is a chart made up of individual candles, which investors use to understand price action. Candlestick price action has to do with pinpointing where the price opened and closed for that period. It also shows the price lows and highs for a particular time.
Price action can give investors of all financial markets ideas on trends and reversals. For instance, candlesticks can form charts that happen throughout forex charts that could mean reversals or trend continuations. Candlestick charts can also form individual formations which could mean buy or sell entries in the market.
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