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BeginnerLesson 1 of 4 · 6 min

Anatomy of a Candlestick

Open, high, low and close — and what the body and wicks describe about a session.

Illustrative chart · Bodies and wicks
1Rejection low2Rejection high3Indecision
Long lower wicks (1) show price was pushed down and then bought back. Long upper wicks (2) show the opposite. Small bodies (3) show indecision.

Four prices, one shape

Every candle summarises a chosen period with four prices: where it opened, the highest and lowest prices traded, and where it closed. The body spans open to close; the wicks reach to the extremes.

A green (bullish) body closes above its open. A red (bearish) body closes below it. Colour tells you direction; shape tells you how the period unfolded.

Reading the wicks

Wicks record prices that were visited and then abandoned. A long lower wick means sellers pushed price down, but by the close buyers had recovered much of that ground.

One candle is a small sample. Treat wicks as clues to be confirmed by location — a rejection wick at a known level carries more information than one in the middle of a range.

Key takeaways

  • Body = open to close; wicks = the extremes.
  • Wicks show rejected prices, not guaranteed reversals.
  • Context and location matter more than a single candle.

Charts are illustrative examples, not real market data. This content is for educational purposes only and is not financial advice.