Japanese candlestick charts, which were invented by rice merchants in Japan many centuries ago, are a way for traders to read currency price movements for a specific period of time. They consist of four levels that make up three parts. Those four levels are high, low, open, and close. All four levels make up three parts of a candlestick: the upper shadow, body, and lower shadow. Traders use the formation of candlesticks to indicate the strength or weakness in the market. The most popular pattern is called a "pin bar." This is a candlestick with a tiny body and a long upper or lower shadow, or "wick.” It indicates a possible reversal point in the market.