{"content":"I'm gonna tell you How to read “one-candle signals” Traders operating in really short time frames sometimes focus on just one candle. Familiarizing yourself with these “one-candle signals” can be a helpful exercise as a beginner. In the image below, you’ll find four common one-candle signals:  A long upper shadow could be an indicator of a bearish trend, meaning that  investors are looking to sell and take profit. The longer the upper shadow, the stronger an indicator. A long lower shadow could be a bullish signal, indicating that investors are looking to buy, thus driving prices up. The longer the lower shadow, the more reliable the signal. A Doji candle has no body, because the open and close prices are the same. These can typically be interpreted to mean there is indecision in the market, and are a possible indicator for an upcoming price reversal. (Why “doji”? Candlestick charts were first used by Japanese rice traders in the 18th century. “Doji” means error — presumably because it would be uncommon for prices to open and close in the exact same place. ) Umbrellas have a distinctively long bottom wick. A red umbrella is also known as a hammer. When you see a hammer it often means that the asset is receiving some serious buy action — and the price might soon be on its way up. Green umbrellas, on the other hand, have an ominous nickname: hanging men. They’re often a signal that sellers are ready to cash out — reversing the up cycle. It’s important to note that one-candle signals can be an important clue, but an accurate reading of the market requires understanding the broader context. And spotting trends and patterns in candlestick charts isn’t easy. If you’re not sure what investment strategy is right for you, check with a professional advisor.","images":["https://d2kdcqywr8ua22.cloudfront.net/uploadfile/article/blog/2025082025/08/15/b1e2905324184260855d5b09a814c57f.png"],"tags":[],"tradingPairs":[],"quotearticleid":0}