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Hahahaha this is lovely. Do they call stock graphs candles? I feel attacked. This is a meme to save!! How did you do that? Mines are red. Damn pure genius. So romantic, when you can sit at home by yourself, without your wig on. How do you get it to make that color? These are the only candles that I like. I love green candles. What a tasty chart. Haha this is great! What do you think? Close Search for: Search. Log In Sign In. Forgot password? Enter your account data and we will send you a link to reset your password.
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In the s, a Japanese man named Homma discovered that, while there was a link between price and the supply and demand of rice, the markets were strongly influenced by the emotions of traders. Candlesticks show that emotion by visually representing the size of price moves with different colors. Traders use the candlesticks to make trading decisions based on regularly occurring patterns that help forecast the short-term direction of the price.
Just like a bar chart, a daily candlestick shows the market's open, high, low, and close price for the day. The candlestick has a wide part, which is called the "real body. This real body represents the price range between the open and close of that day's trading. When the real body is filled in or black, it means the close was lower than the open. If the real body is empty, it means the close was higher than the open. Traders can alter these colors in their trading platform.
For example, a down candle is often shaded red instead of black, and up candles are often shaded green instead of white. Just above and below the real body are the " shadows " or "wicks. If the upper shadow on a down candle is short, it indicates that the open that day was near the high of the day. A short upper shadow on an up day dictates that the close was near the high. The relationship between the days open, high, low, and close determines the look of the daily candlestick.
Real bodies can be long or short and black or white. Shadows can be long or short. Bar charts and candlestick charts show the same information, just in a different way. Candlestick charts are more visual, due to the color coding of the price bars and thicker real bodies, which are better at highlighting the difference between the open and the close.
The above chart shows the same exchange-traded fund ETF over the same time period. The lower chart uses colored bars, while the upper uses colored candlesticks. Some traders prefer to see the thickness of the real bodies, while others prefer the clean look of bar charts. Candlesticks are created by up and down movements in the price. While these price movements sometimes appear random, at other times they form patterns that traders use for analysis or trading purposes.
There are many candlestick patterns. Here is a sampling to get you started. Patterns are separated into bullish and bearish. Bullish patterns indicate that the price is likely to rise, while bearish patterns indicate that the price is likely to fall.
No pattern works all the time, as candlestick patterns represent tendencies in price movement, not guarantees. This action is reflected by a long red real body engulfing a small green real body. The pattern indicates that sellers are back in control and that the price could continue to decline.
This is reflected in the chart by a long green real body engulfing a small red real body. With bulls having established some control, the price could head higher. It is identified by the last candle in the pattern opening below the previous day's small real body. The small real body can be either red or green.
The last candle closes deep into the real body of the candle two days prior. The pattern shows a stalling of the buyers and then the sellers taking control. More selling could develop. This is not so much a pattern to act on, but it could be one to watch. The pattern shows indecision on the part of the buyers. If the price continues higher afterward, all may still be well with the uptrend, but a down candle following this pattern indicates a further slide.
The bullish harami is the opposite of the upside down bearish harami. A downtrend is in play, and a small real body green occurs inside the large real body red of the previous day. This tells the technician that the trend is pausing. If it is followed by another up day, more upside could be forthcoming.
A bearish harami cross occurs in an uptrend, where an up candle is followed by a doji —the session where the candlestick has a virtually equal open and close. The doji is within the real body of the prior session. The implications are the same as the bearish harami. A bullish harami cross occurs in a downtrend, where a down candle is followed by a doji. The implications are the same as the bullish harami.
Let's look at a few more patterns in black and white, which are also common colors for candlestick charts. This pattern starts out with what is called a "long white day. The fifth and last day of the pattern is another long white day.
Write custom code to access the candlesticks across each exchange you want to integrate. Manage incorrect labeling of assets, token swaps, forks, and rate limits which make it nearly impossible to manage more than a few exchanges at any given time. Constantly update your code for each exchange as they release updates, modify conventions, or change the way they serve data. Exchanges in the cryptocurrency market are difficult to manage. Every exchange has a different set of standards and APIs.
Some exchanges incorrectly mark assets or have poor conventions. In the end, it requires constantly updating your code. These simple examples demonstrate the complete inconsistency between exchange candlestick APIs. There are no standards when it comes to cryptocurrency exchange APIs.
Even creating consistency between these two exchanges would require significant overhead to standardize the candlestick intervals, provide consistent data in responses, and a deep understanding of what each piece of data represents. Cryptocurrency data vendors are a convenient option for developers who want something that just works. Instead of fussing with each exchange, maintaining a complete history of everything that has ever happened on an exchange, or stressing about sporadic updates - Data vendors manage the complexities so you can focus on a simple way to access the data.
Plug into a data vendor and automatically access normalized candlesticks from every exchange. Shrimpy is one of the most prominent of these vendors. Accessing candles can be done through our public endpoints here. The data is completely public for use. Just call the endpoint in your browser to test like this:. In an instant, you have access to candlesticks across every major exchange in a consistent format. The data and candlestick intervals are carefully selected to provide the best experience for both developers and traders who will need to read charts generated from this data.
Sign up for a free developer account here. Those developers that use Python can quickly leverage the Shrimpy Python Client to start plotting data. Simply start by installing the client. In this example, we will also need to install the Plotly library. If you are using Python2, please update your version of Python.
These keys will be used in the Python scripts where you see these lines. Arbitrage Scripts for Crypto Trading Bots.
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