Updated: Mar 31
This is an age-old question that might be the problem with your trading. Don't get too excited, I said "Might Be".
When you open a new chart setup in Tradingview or almost any charting platform the default candlestick colors are red and green. The real question is "Does this play a psychological effect on my trading abilities?"
“In a way, I wonder if the red and green candles are for traders and the solid one-color setup is for investors.”
I always think of red and green candles as a stoplight. Red means stop and green means go. In Forex it obviously means up or down. But does changing the colors make you see the market differently? In my opinion, I think it can.
Let's Test Out This Theory
For two weeks or so I decided to change my candles to all black on a white background. I found that I was no longer looking at each candle individually but I was now looking at them as one sort of liquid blob lol. The kind that makes you money. In a way, I wonder if the red and green candles are for traders and the solid one-color setup is for investors. Traders are looking for intraday moves, while investors are looking for longer-term setups.
In conclusion, I think traders might want to try turning off the colors and start looking for support and resistance only using technicals, and not focus so much on the back and forth or stop and go effect that red and green candles have.