Japanese Candlesticks: The Bears From The Bulls.
October 28th, 2008 . by adminFor those new to the concept of the Japanese candlestick method for buying and selling open-market commodities and stocks, they’re a lot like standard bar graphs, but also a lot different.
The main part of the candlestick is known as the body. They are either hollow (white) or filled (black).
Each has their own meaning.
A hollow body represents a strong pressure to buy while a filled body represents a strong pressure to sell.
The body length is also important because it tells traders how high or how low the closing price was from the opening price.
A long white body means aggressive price increases, or a bullish market, while a long black body warns traders of an aggressive price decline, or a bearish market.