A candlestick chart is a chart that represents a tokens price movement.
Here is an example of a candlestick chart:
Candlestick charts consist of multiple red and green "candlesticks".
Each candlestick represents a specific time frame (i.e. 1 minute, 1 hour, 1 day) depending on the chart.
A green candlestick:
- Represents a positive price movement.
- These may occur when liquidity is provided.
- These may also occur when swappers are buying more than they are selling.
A red candlestick:
- Represents a negative price movement.
- These may occur when liquidity is removed.
- These may also occur when swappers are selling more than they are buying.
Each candlestick is made of a body, an upper wick, and a lower wick.
The body is the rectangular part of the candlestick.
- The body represents the price range between the opening and closing prices during the specified time period.
The wicks are the thin lines extending above and below the body.
- The upper wick represents the high price during that specified time frame.
- The lower wick represents the low price during that specified time frame.
Wicks show how much the price changed during a specified time frame.
Using these definitions you read a candlestick chart to see the changes in a tokens price.
To see our candlestick charts see the following sites: