A robust decision making framework demands analytical approach which takes into the view the parameters, limitations and environment surrounding and including the problem universe. Similarly when it comes to any market – equities, forex, commodities – which has inherent component of speculation in it, Technical Analysis finds favour, at least among the traders (short term) , if not investors (long term).
- Opening price of the asset (O)
- Closing price of the asset (C)
- Highest price of the asset achieved in the day (H)
- Lowest price of the asset achieved in the day (L)
- Body – “Broader” part of the candlestick. It depicts “O” at one end and “C” at other end.
- Shadow – “Thinner” part of the candlestick depicting “H” and “L” data of the asset.
- C > O , represented by “White Body”
- O > C , represented by “Black body”
- C = O , represented by horizontal line in place of Body, also called Doji.