Candlestick charts

These have come up a couple of times in our support chats & I can understand why day or swing traders / people who believe in technical analysis might try to use them.

But I’m not aware of any situations where these might be help someone make a long term investment decision so I’m wondering whether anyone in the community knows of any? To be clear, I’m not suggesting that there aren’t any - this could just be a knowledge gap.

For anyone who’s not familiar with candlestick charts, according to Wikipedia

A candlestick chart is a style of financial chart used to describe price movements of a security.

Like a combination of line-chart and a bar-chart: each bar represents all four important pieces of information for that day: The open, the close, the high and the low. Being densely packed with information, they tend to represent trading patterns over short periods of time, often a few days or a few trading sessions.

Here’s a couple of examples of what one of these charts look like, from a random website that’s designed for day traders:

📷 click to open 1 week chart

📷 click to open 1 year chart

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