candlestick open = close

[Persson121]

Hi.

Just wondering something about candlestick.

If i made a daily chart of candlesticks. Open-High-Low-Close.
Isin't the close-value = the open-value next day?
Example.

Date	       Open       High         Low         Close
2002-06-25	121.68	    122	        121.37	[B]121.53[/B]
2002-06-26	[B]121.53[/B]	    121.9	118.95	[B]121.7[/B]1
2002-06-27	[B]121.71[/B]	    120.3	119.19	[B]119.4[/B]1
2002-06-28	[B]119.41[/B]	    120.36	118.36	119.47
etc

 

[wackypete2]

Hi.

Just wondering something about candlestick.

If i made a daily chart of candlesticks. Open-High-Low-Close.
Isin't the close-value = the open-value next day?
Example.

Date	               Open    	         High	 Low              Close
2002-06-25	121.68	        122	        121.37	[B]121.53[/B]
2002-06-26	[B]121.53[/B]	121.9	118.95	[B]121.71[/B]
2002-06-27	[B]121.71[/B]	120.3	119.19	[B]119.41[/B]
2002-06-28	[B]119.41[/B]	120.36	118.36	119.47
etc

NO.
It CAN be, but rarely is. 2 different prints at 2 different points in time.

Peter

 

[Persson121]

But think that May 1 starts at 100. High is 105 and low is 95 and close is 101. Next day at May 2, the start is 101 and low is 94 and high is 120 and close is 102. Then May 3 start is 102 etc...

May 2 cannot start at 104 beacuse close at the closing is 101. Also start should be exactly the same as close from the next day IF.....we made daily charts in candlesticks.

 

[wackypete2]

EVERY daily candle has an OPEN, HIGH, LOW, CLOSE (OHLC)
Open a chart, set it up as daily candles and look at the close of one day and the open the next day.
They are 2 different days, 2 different points in time, the OHLC is relative to THAT candle only.
Better yet check the close of a Friday candle and see that is is not the same as the open of a Monday candle.

Peter

 

[NVP]

and cant they Gap pete ?

 

[barjon]

It can all get a bit confusing.

For UK equities, for example, it's general from most providers that the close is the "official" close mid-price (set after the post market auction period) and the open the "official" opening mid-price (set after the pre-market auction period). Hence gap openings.

For the FTSE index the official rule is that yesterday's close = today's open. Some providers stick by that (hence no gap opening), whilst others try to reflect the trading reality by taking the FTSE value a minute or so after the open. Hence a gap opening usually).

 

[Persson121]

.