meaning of candlestick chart

candlestick chart meaning in Law Dictionary

device used to understand current costs and predicting future cost actions. By the comprehension of this, the trader knows when far better trade, thereby making more profits in the transactions or A chart that indicates the trading range for the day along with the opening and finishing price. In the event that available price is more than the close cost, the rectangle between the open and close price is shaded. If the close price is greater than the available price, that section of the chart just isn't shaded.

candlestick chart meaning in Business Dictionary

Often used in recording and analyzing the price of a commodity or security, this chart packs a large amount of data in a small space. The candlestick symbol represents a narrow vertical rectangle (box) with short straight lines (called upper and lower 'shadows' or 'wicks') extending from the center of each end. If the closing price of the item is lower than its opening price, the box is usually shown in solid black color and is called 'filled.' If the closing price is higher, the box is left blank or white and is called 'unfilled.' In a filled box, the top-end designates the opening price, and the bottom-end the closing price. In an unfilled box, the top-end designates the closing price, and the bottom end the opening price. Length of the top wick designates the highest price for which the item was sold in the specified period. Length of the bottom wick designates the lowest price for that period. The width of the box is usually proportional to the volume of trading. Price is measured along the vertical axis of the chart, and time along the horizontal axis. Invented in Japan, it is a type of box graph and often has several additional symbols attached to it to convey other bits of information. Called also box and whisker diagram or candle chart.