The basics of understanding candlesticks
The most standard type of charts to trade with are Open High Low Close (OHLC) and Japanese Candlestick charts. There are 5 key aspects to understanding candlesticks compared to OHLC.
- They clearly represent the needed information
- Less emphasis is put on the wicks or tails of candlestick charts.
- OHLC bars are more difficult to read therefore understanding candlesticks are easier in comparison.