How to Read a Candlestick Chart

Learn the meaning of open, high, low and close before adding indicators.

A candlestick summarises price behaviour over a selected period. The body represents the relationship between open and close, while the wicks show the high and low reached during the period.

Beginners often jump directly to named patterns. A stronger approach is to first understand context: trend, support and resistance, volume, timeframe and what happened before the candle appeared.

Practice checklist

• Identify the timeframe.
• Mark the open and close.
• Observe the wick-to-body relationship.
• Compare with nearby candles.
• Write what the chart is showing without predicting.

Chart reading is a skill built through repetition, not a shortcut to guaranteed outcomes.