A candlestick is a type of price chart that displays the high, low, open, and closing prices of a security for a specific period and originated from Japan.
 | | Term of the Day | Words to Know | | |  | | Candlestick | | A candlestick is a type of price chart used 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. The wide part of the candlestick is called the "real body" and tells investors whether the closing price was higher or lower than the opening price (black/red if the stock closed lower, white/green if the stock closed higher). | | Read More » | | Technical Analysis | | Technical analysis is a trading discipline employed to evaluate investments and identify trading opportunities by analyzing statistical trends gathered from trading activity, such as price movement and volume. | | Read More » | | | Harami Cross | | A harami cross is a candlestick pattern that consists of a large candlestick followed by a doji. Sometimes it signals the start of a trend reversal. | | Read More » | | | Doji | | A doji is a name for a session in which the candlestick for a security has an open and close that are virtually equal and are often components in patterns. | | Read More » | | | Morning Star | | A morning star is a bullish candlestick pattern in a price chart. It consists of three candles and is generally seen as a sign of a potential recovery following a downtrend. | | Read More » | | | | | | CONNECT WITH INVESTOPEDIA | | | | | | | |
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