The vertical lines that cross the tops and bottoms of the core boxes or bars are referred to as whiskers (also called wicks). It typically appears on a graph of a financial asset, security, or product. The charts are commonly known as candlestick charts.

Usually, there is a solid box in each section of a candlestick chart. It is additionally known as a candlestick body. The opening and closing prices form a solid box. The solid box has two whiskers above and below it. During that time, if the box and whiskers are red (or black), the value of the underlying asset decreases. If the box and whiskers are green, on the other hand, the cost increases.

The opening and closing prices of the asset are shown by the candle. The top and lower limits of the price of the underlying asset throughout a specific time period are represented by the whiskers, on the other hand.

Price extremes can be seen in the whiskers themselves. This enables traders to comprehend market emotion and momentum better. Basically, the creation of whiskers serves as a visual record of price change in relation to the opening and closing values.

Leave a Reply

Your email address will not be published. Required fields are marked *

© WazirX. All rights reserved

Scroll to Top