Candlestick charts are a popular method for visualizing stock price movements. Each candlestick represents a specific time period (e.g., 5 minutes, 1 day) and contains four key pieces of data: open, high, low, and close (OHLC). A candlestick body shows the range between open and close, while the wicks (shadows) show the highs and lows. Green (or white) candles indicate upward movement, while red (or black) candles represent declines. Basic candlestick types include doji, hammer, shooting star, engulfing, and spinning top. These formations help identify market sentiment and potential reversals. For example, a “hammer” at the bottom of a downtrend may signal a bullish reversal. This section explains candlestick construction, psychology behind patterns, and real-life examples. Learning candlesticks is fundamental for traders using price action strategies. It also serves as the foundation for more advanced analysis like chart patterns and indicators. With consistent practice, candlestick reading becomes a powerful tool for timing entries and exits.