Bodies and wicks

Summary

Big bodies with small wicks show one side in firm control for the whole period. Small bodies with long wicks on both ends show indecision: the price swung but ended near where it started. When bodies shrink after a strong move, the move is losing energy. Comparing the size of bodies and wicks across a few candles tells you more than any single one.

Key points

• Large body, short wicks: one side was in control.
• Small body, long wicks on both sides: indecision.
• Shrinking bodies after a strong move: the move is slowing.

Check yourself

Several candles in a row have small bodies and long wicks on both ends. What does that suggest?

Practice