🐳Learning to understand bar analysis – Part 3🚀
Today we will touch on results and tails!
1️⃣ Result
This is where the candle closed relative to its range 📍
Closing at the maximum → buyers dominate 📈
Closing at the minimum → sellers dominate 📉
Closing in the middle → balance, uncertainty ⚖️
The closer the closing is to the extreme, the stronger the side that moved the price.
It is important to compare the result with previous bars — is the pressure increasing or decreasing.
2️⃣ Tails / shadows
Shadows show rejection of price and struggle within the bar 🔍
Long upper shadow → sellers did not allow the price to hold at the top (selling from above) ⬇️
Long lower shadow → buyers bought the dip (support from below) ⬆️
Small shadows → the movement was confident, with no serious resistance
The longer the shadow, the greater the price deviation and the higher the likelihood of a reaction in the opposite direction.
📌 In conjunction:
The result shows who won,
Shadows — was there a struggle and where exactly.
$XRP #CandlestickAnalysis