Visualization of Red vs. Green Candle


 


ScenarioGreen CandleRed Candle
Opening PriceLower than the closing priceHigher than the closing price
Closing PriceHigher than the opening priceLower than the opening price
Market SentimentDominated by buyersDominated by sellers
ExampleBuyers push the price up despite some selling.Sellers push the price down despite some buying.

In essence, the color of the candle reflects the net result of the tug-of-war between buyers and sellers over the session.

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