Binary Options Candlestick Charts Patterns Explained. Candlesticks were created by Sokyu Honma, a Japanese rice trader, hundreds of years ago. Since then, binary options strategy they have acquired such an impressive reputation as a powerful analytical tool; they are still widely used by binary options
traders today. This is because many experienced investors currently deploy a thorough grasp of candlestick concepts to boost their profits and success. Candlesticks can generate important insights into prevailing trading conditions because each one displays a unique interpretation about how the price of an asset performed over a selected time period.
Each candlestick is represented by 4 price points: binary options strategy closing, highest, opening and lowest prices. The distance separating the closing and binary options broker opening values is defined as the ‘body’. When the closing value is higher than the opening price, then the candlestick is bullish and its body normally has a white color. Alternatively, a bearish candlestick is formed whenever the opening price is above the closing value.
The distance separating the highest price and closing price of a bullish candlestick is known as the ‘wick’. In addition, binary options the distance separating the lowest value and binary options strategy opening value is referred to as the ‘tail’.