Hey guys,
Cryptocurrencies are no doubt the hottest thing at the moment. I thought it might be helpful for a lot of people who come new into the game to know how to actually read the candle stick charts.
In the beginning it can be quite confusing, but it's actually super simple.
Ok let's get straight into it..
For this purpose I took a chart from Bittrex for ETH/BTC
Ok so here is what each number represents
1 = Here you can set the width of one candlestick, in our example it is set to 30 minutes, so each candle stick no matter if it's red or green represents a timeframe of 30 minutes.
2 = This is the OPEN price point of our candle stick timeframe
3 = This wick below our candle stick represents the LOWEST price within our 30 mins timeframe
4 = This wick above our candle stick represents the HIGHEST price within our 30 minutes timeframe
5 = This is the CLOSE price point of our candle stick timeframe, so this is the last price within our 30 minutes time frame.
I hope this little guide was helpful for you. If you have any follow up questions please don't hesitate to comment and I will reply to every one of you.
Happy investing!