Let’s make it simple
Think of a candle as a tiny scorecard for one stretch of time. It saves four numbers instead of every price update. The thick middle is the body. The thin lines are wicks, also called shadows.
Understand the idea
Open is the first price in the chosen period. Close is the last price in that period. High is the highest price and low is the lowest. We shorten these names to O, H, L and C.
The body joins open and close. The whole candle runs from low to high. In this course, UP candles use teal and DOWN candles use orange, with letters too. This helps readers who find colours difficult. Always check the chart legend.
A candle describes its own period. A daily candle and an hourly candle cover different lengths of time. A complete candle is a summary, not a recording of every movement.
Read exact candle values
| Candle | Open | High | Low | Close |
|---|---|---|---|---|
| A | 10 | 14 | 9 | 13 |
A small worked example
O=10, H=14, L=9, C=13. The body runs from 10 to 13. The full price range runs from 9 to 14. The close is higher than the open, so this is an UP candle.
Your turn
Draw the example candle on squared paper. Label all four prices. Use a ruler for the wick and a rectangle for the body.
Compare your exercise with a model response
Body 10-13, wick 9-14. High and low must include both body endpoints.
Pause & think
Check your understanding
Write an answer, then compare it with the explanation. This is self-study, not an automatically graded test.
Compare all three answers to unlock the review button.
Fictional examples. Education only; no pattern guarantees a result. Course information