Hollow vs Solid Candles: What's the Real Difference?



Lot of people confused about this. Here's the deal:

**Hollow candle = close higher than previous close** (bullish signal)
**Solid candle = close lower than previous close** (bearish signal)

Green = up, red = down. Simple.

Why it matters? Series of hollow candles = sustained buying pressure. Series of solid candles = sustained selling pressure.

Pattern Recognition 📊

**Bullish Engulfing**: Green hollow completely covers previous red solid → buyers won, possible reversal up

**Bearish Engulfing**: Red solid completely covers previous green hollow → sellers won, possible reversal down

**Doji**: Tiny body + long wicks both sides → market indecision, no clear direction

**Harami**: Small body inside previous candle → momentum dying, direction might shift

Combine these patterns with support/resistance levels and you've got a decent read on what's coming next. That's basically what separates traders who just guess from those who actually read charts.
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