how to understand candlestick chart pattern in stock market

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Saurabh Gupta
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Many friends find it difficult to understand candlestick chart pattern in stock market. After reading the article on how to understand candlestick chart pattern in stock market, you will not have this problem, which I assure you. If you are trading in the stock market then you must have knowledge about candle charts.

Because with the candle chart, you can easily understand the changes happening in any stock or index in the form of a picture. Friends, candlestick charts are most commonly used for analysis in trading.

In how to understand candlestick chart pattern in stock market article, you will get complete information about Candle Chart today. After reading this article carefully, you will not face any problem in understanding the candle chart. Now do you know what happens after all?

Friends, candle charts are used to do technical analysis in share market, Nifty, Bank Nifty or any other segment. Candle chart is also known as candlestick chart. Candlestick charts originated in Japan. Meaning that candle charts are being used for centuries.

Even at present, candle charts are used the most. Candle chart is used to do technical analysis of any stock. You can also analyze index like Nifty, Bank Nifty from candle chart.

In short words, the use of candle charts is not limited to any stock or index. They are also used in forex trading, commodity trading, technical analysis of crypto currency etc. Now let me understand you in detail about candle chart.

How to understand bullish candle in candle chart?

Friends, candle chart is made from candle, hence it is called candlestick chart. The candle formed in the candlestick chart mainly tells us four things. High, Low, Open, and Close of Shares. Here the meaning of the share, you have to take into account the indices like Share, Nifty, Bank Nifty and other segments as well.

how to understand candlestick chart pattern in stock market

This is the candle of a candle chart. At the top of this candle, you will be seeing the high of the candle. The high of the candle represents the high the stock has set during the day. The low side of the candle is the low of the candle.

Low refers to the low that the stock has made throughout the day. In this candle you can see the open at the bottom and the close at the top of the candle.

Open Share refers to the price at which it was opened. While the close shows the price at which the share was closed. The thing to note here is that this is a bullish candle. Now let me give you information about what happens in a bearish candle.

How to understand the bearish candle in the candle chart?

Share Market Candle Chart In share market chart analysis now I am giving you information about bearish candle. You will also get to see open, high, low, and close in bearish candles. But in a bearish candle, the open is on the upper side and the close is on the lower side.

how to understand candlestick chart pattern in stock market

When in a bullish candle, the open is on the lower side and the close is on the upper side. Because when the price of the stock opens downwards and closes upwards, only then it will become a bullish candle.

Whereas in a bearish candle the open is on the up side and due to the fall in the price of the stock, their close is on the down side.

Only then a bearish candle is formed when the stock price opens higher but closes at a lower price. You have to practice both the candles equally to see what happens in the bullish and bearish candles.

Candle chart’s real body, upper shadow, and lower shadow of the candle

Friends, in the Share Market Candle Chart article, now I am giving you information about some more features of Candle Chart. Now you have got information about High, Low, Open and Close. Now let’s learn some advances.

Now when you see the candle in the candle chart, you will see a shadow like a needle stick showing the high of the stock, which is called upper shadow.

Whereas the shadows showing low towards the bottom are called lower shadows. The upper shadow is formed due to the closure of the bottom of the high. And due to the closure of the low, the lower shadow is formed.

When the body of the middle of the candle is called the real body of the candle. The actual body of the candle can be small or large. You may never see the real body in the candle. Such a candle is known as Doji, in which you do not see the real body. About which you will get further information.

Candlestick chart patterns

For your information, in this article, I would like to tell you some important things about this chart. And there may also be a candle indicating some uncertainty.

When we practice candle chart, we can practice by looking at a single candle, we can also practice by mixing more than one candle.

On a candle chart, one candle, two candles, and more than two candles together form a pattern which we know as candlestick patterns. By understanding candlestick patterns, you can do technical analysis of any stock. About which I am going to give you further information.


how to understand share market chart 

Friends, when you understand the candle’s high, low, close, open, higher shadow, lower shadow etc. in the candle chart, then it is easy for you to understand the candle of the candlestick chart. When you start to understand candlestick charts, you need to know about several candlestick patterns.

A number of bullish, bearish and uncertain candlesticks are formed on the candlestick chart which need to be practiced. You can easily understand this by practicing single, double, and multi candlestick patterns of candlesticks.

Now you must have got complete information about the share market ka chart kaise samjhe. But our practice is not complete yet, you still have to understand many things.

Friends, many friends ask that I have only one answer to understanding chart in the share market. By understanding the candle patterns of candle charts. Yes friends, if you want to learn to understand candle charts, then you have to learn some candlestick patterns.

Single, double, and multiple patterns are formed on the candle which is very important to learn. Patterns showing bullishness, showing bearishness, and showing uncertainty are formed in the stock market. Some of these patterns are as follows. But friends, you will get all those patterns on my website, so read carefully.

Single Candle Stick Patterns:

  • marubozu
  • doji
  • hammer
  • spinning tops
  • long legged doji
  • dragonfly doji
  • gravestone doji
  • Four Price Doji
  • Hammer
  • Paper Umbrella
  • Hanging man
  • Belt hold

 Double candlestick pattern:

  • Bullish Engulfing
  • piercing line
  • harami
  • doji star
  • Harami cross
  • homing pigeon
  • kicking
  • matching low
  • meeting lines
  • separating lines
  • bearish engulfing
  • in neck
  • thrusting
  • separating lines


Multiple candlestick patterns:

  • abandoned baby
  • morning star
  • three inside up
  • breakaway
  • ladder bottom
  • morning doji star
  • side by side white lines
  • stick sandwich
  • three line strike
  • three outside up
  • three stars in the south
  • three white soldiers
  • tri star
  • upside gap three methods
  • upside tasuki gap


I hope you have liked my article on how to understand candlestick chart pattern in stock marketIt has always been my endeavor to provide complete information about the future of stock market to the readers, so that they do not have to search any other sites or internet in the context of that article.

This will also save their time and they will also get all the information in one place. If you have any doubts about this article or you want that there should be some improvement in it, then you can write comments below for this. this is only for educational purpose.