Candlestick chart

A financial chart in which each candle summarizes an interval’s opening, closing, highest, and lowest prices. Candle bodies show the open–close range, while wicks extend to the high and low.

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Open-high-low-close chart: A price chart that marks each interval’s open, high, low, and close with a vertical line and side ticks. It encodes the same four prices without candle bodies.
Munehisa Homma: An eighteenth-century Japanese rice trader associated with early methods of analyzing rice prices. He is often linked to the historical development of Japanese candlestick analysis.
Price action trading: A trading approach that bases decisions primarily on price movements rather than indicators or fundamental data. Traders use candle shapes and sequences to describe price action.
Line chart: A chart that connects selected data points, commonly closing prices, with lines. It simplifies price history but usually omits each interval’s high and low.
Candlestick pattern: A recurring arrangement of one or more candlesticks interpreted as a possible signal about market behavior. Named formations turn individual candles into visual patterns.
Dōjima Rice Exchange: A rice market established in Osaka in the late seventeenth century, with organized trading in rice claims. Candlestick analysis developed in the setting of Japan’s rice markets.
Support and resistance: Price levels or zones where buying or selling pressure has repeatedly affected market movement. Candles can show how price behaves near these zones.
Bar chart (finance): A financial chart that represents each interval’s high and low with a vertical line and its open and close with side ticks. It carries the same four prices in a less candle-shaped form.
Doji: A candlestick whose open and close are equal or nearly equal, leaving little or no body. Its small body marks an interval with little net price change.
Japanese rice futures market: A historical market in which standardized claims on future rice deliveries were traded in Japan. It provides the commercial context for early candlestick methods.