Technical analysis

Japanese Candlesticks

Japanese candlesticks is the most popular chart type for displaying asset price fluctuations.

It’s made up of colored rectangles and vertical lines, similar in appearance to the candlesticks that give it its name.

The colored rectangles are the “body” of the candlestick. The lines above and below the body are called the “shadows”. This chart was invented in Japan centuries ago but gained worldwide popularity in the late 1990s.