What is a candlestick in trading?

A candlestick is a type of price chart used in technical analysis that displays the high, low, open, and closing prices of a security for a specific period. It originated from Japanese rice merchants and traders to track market prices and daily momentum hundreds of years before becoming popularized in the United States.

Why do traders use candles on a chart?

Trading candles displayed on a chart provides a clear visual representation of price data, and are one of the most common forms used by technical traders. Pattern recognition is an important lesson in life in general, with many believing in cyclical momentum, and repetition in various ways over time.

What is a daily Candlestick?

Just like a bar chart, a daily candlestick shows the market's open, high, low, and close prices for the day. The candlestick has a wide part called the "real body." This real body represents the price range between the open and close of that day's trading.

How to start candle trading?

To start candles trading, you need a reliable broker which offers top-class services at affordable prices. Some of the well-registered and regulated firms include PrimeFin, Global TradeATF, Brokereo, and Capixal. The minimum deposit for all these firms is $250. Also, they do not charge a commission on trade.