Understanding the candlestick in Forex and how to analyze it

We’re getting into the anatomy of a candlestick, okay? As I said, green means buy, which means we closed higher than the open price. Okay, we’ve gone up in price. We opened here, and then we closed close here. The filled part of the candle is what I like to call the body, and the lines sticking out of it are Wix. Well, the lower part of the body of a green candle is always open, but what is the story of this candle? We opened it here, and the sellers reached the lowest level until the buyers rushed in. Read on, my friend, to learn more.

How a candlestick works in Forex and its importance to the trader?

For red candles, it’s precisely the opposite of green candles, so the open now is not at the bottom. The open is at the top because we went down in price, so the close is lower than the open. So what’s the story of this candle that we opened here, and the buyers reached the high here at One Pip until the sellers got in? We hit the low here until some buyers came in, and we ended up closing here, but since we closed at a lower level than the opening price, the candle closed red because the price went down.

How long do candles take to open and close in Forex?

Well, it depends on our time frame, so if you look at the top left corner, we have this D here we’re in daily life. Since we’re in daily life, it means it took a day to close each one of these candles, but here let’s click So quickly on this, let’s click on the daily, and now when you click on that, My preferred time intervals are the daily, 4-hour, 1-hour, 15-minute, and 5-minute time frames. You can add them to your favorites.

We also have our favorite time frames that we can quickly sort through rather than sorting through this massive list since I was there every day. Like I said, each of these candles took one day to close, so with trading, it’s been very cool because we’re playing with time, so It’s like a microscope. Now I’m journaling, so let me show you what I mean. Here, I’m going to rewind time, and this is an advantage to have the basic plan that I told you, guys, about because then you can rewind time and test. I plan to make it better so you can make more money.

I’m going to rewind time, and I’m going to highlight these candles. This is one daily candle, and I will use the vertical line tool to know exactly where that day started. This is one candle because we’re on the daily time frame, so each one of these candles took a day to close. Now, what happens if I go to the hour? So when I go down to the hour, a lot of candles are displayed even though it was just one candle in The Daily because what we’re doing now is zooming in on time.

So, it was one candle in The Daily, but when I zoom in now, it shows 241 hours on this daily time frame. Since I’m on the 1-hour time frame, each one of these candles took 1 hour to close. What happens if I go to the 15-minute time frame now? We’re getting more and more details because, on the 15-minute time frame, each of these 50 candles took 15 to 15 minutes to close.

Trade Forex on the 5-minute time frame

What happens if you go to the 5-minute time frame? The same thing happens to us in every one of these candles, and it now takes 5 minutes to close. The hard part about this is that we have to go from the micro level to the macro level and know how Looks like the details. We also have to know what’s going on in the big picture, which is good because if we forget, things like this can happen because even though it looks like we’re going up, it seems like we’re going up now on the 15-minute chart.

So what happens? We are starting to break down, but how would you have known that it would go down like that? So you need to understand what type of market you are in because, yes, at minute 15, it looked like it wanted to go up, but if you go to higher time frames like hourly or even 4 Hours, As you can see, there seemed to be primarily red and wanted to go down, so 4 Hours would have more strength than a 15-minute time frame.