Anatomy of a Candlestick
Each candlestick bar on the Investography chart represents a single trading session. The body of the candle shows the opening and closing prices. The upper wick extends to the session's high. The lower wick extends to the session's low. A green (or unfilled) candle means the close was above the open. A red (or filled) candle means the close was below the open.
Key Patterns to Recognise
Using Chart Periods
Switch between 7-day, 30-day, 90-day, 180-day, and 1-year chart views using the period selector on the Investography stock chart. For identifying short-term patterns, use 7-day or 30-day views where individual session candles are clearly visible. For trend analysis and support/resistance identification, use 90-day or 1-year views.
Before setting any price alert, spend 2 minutes on the 90-day chart looking for clear support and resistance levels. These are the horizontal zones where price has repeatedly bounced or reversed. Alerts set at these levels are more meaningful than alerts at arbitrary round numbers.
Volume Below the Chart
The volume histogram below the price chart shows trading volume for each session. Compare candle colour to volume bar height. A large green candle on high volume is a high-conviction bullish session. A large red candle on high volume is significant selling. Large candles on low volume suggest the move may lack institutional backing.