Why Do FTSE 100 Stocks Have Long Wicks Almost Every Day?
Hi everyone,
This question is for UK stock day traders or anyone familiar with the UK stock market.
If you open the 5-minute or 15-minute chart of almost any FTSE 100 stock, you'll often notice very long wicks appearing during normal trading hours. This seems to happen almost every day across many UK stocks.
For example, if you look at the chart of BP (British Petroleum), you'll see what I mean.
I'm curious about what's causing this. These can't all be "freak trades" if they occur so frequently.
How do UK day traders deal with these long wicks? What's the actual reason behind them? Are they caused by low liquidity, large institutional orders, auction mechanisms, off-book trades, market makers, or something else?
I'd really appreciate any insights from traders who actively trade UK stocks.
2026-JUN-01, 2026-JUN-24, 2026-MAY-06, 5 mins chart screenshots are included for your reference.