- Step 1: Positioning of the closing price:
Upper Third = High Close
Mid Third = Mid Close
Lower Third = Low Close
- Step 2: Positioning of the closing price in comparison to its previous candle:
Close above the high of the previous candle = Bull candle
Close within the range of the previous candle = Range candle
Close below the low of the previous candle = Bear candle
Those two steps create 9 possible scores, which will determine the color of the graph.
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