Let’s make it simple
A ball can bounce high and still finish on the ground. In a similar way, a price can reach a high point without closing there. The wick shows that the price visited a level outside the body.
Understand the idea
The upper wick runs from the top of the body to the high. The lower wick runs from the low to the bottom of the body. To measure them, find the higher and lower body edges first.
A long upper wick shows that the close did not stay near that period's high. A long lower wick shows that the close did not stay near its low. Traders sometimes call this rejection, but the word is an interpretation of the price record.
A wick cannot prove the cause or predict the next candle. News, thin trading and ordinary price movement can make similar shapes. Ask where the candle appeared and what came before it.
Read exact candle values
| Candle | Open | High | Low | Close |
|---|---|---|---|---|
| A | 10 | 16 | 9 | 11 |
| B | 11 | 12 | 5 | 10 |
A small worked example
O=10, H=16, L=9, C=11. The upper wick is 16-11=5. The lower wick is 10-9=1. The close sits far below the high, but the next direction is still unknown.
Your turn
Draw the example. Circle the longer wick. Write: "The price reached __ but closed at __." Then write one thing the candle does not tell you.
Compare your exercise with a model response
Upper wick 5, lower wick 1. Price reached 16 and closed at 11; the next direction is unknown.
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