Candlestick patterns are visual representations of price movements in financial markets, such as stocks, forex, and commodities. These patterns are created by a series of candlesticks, which represent price action over a specific period of time, such as one minute, one hour, or one day.

Each candlestick consists of a rectangular body and two lines or “wicks” extending from the top and bottom of the body. The body of the candlestick represents the opening and closing prices of the financial instrument, while the wicks represent the highest and lowest prices during the time period.

Candlestick patterns are formed by specific combinations of candlesticks and are used by traders and analysts to identify potential trend reversals or continuations in the market.

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