The color red is a popular color in Chinese culture as it represents joy, happiness and good fortune. Usually the color red is used at festivals and celebrations, especially during Chinese New Year red is a very popular color.
A Hongbao ”红包” is a red envelope or packet, usually with money inside of it, which is given during holiday or special occasions such a Chinese New Year. Today its popular to send a red envelope "Hongbao" through the messeging app WeChat.
An example of how colors can have diverse meanings among cultures is in the Chinese stock market - in the western market when a stock goes 'down' it is red and 'up' is green, however in China 'down' is green, and 'up' is red, as red has a positive meaning.
The color yellow is considered to be the most prestigious color. Yellow represents wealth, and is a royal color.
White is the symbol of purity in Chinese culture, however it is also the color of mourning and is associated with death. In ancient Chinese culture Chinese people wore white clothes when they mourned for the death, as such white is predominantly used at funerals in Chinese culture
Green is usually associated with health and prosperity. However, this color is also associated with the Chinese saying “wearing a green hat” “戴绿帽子” or “dài lǜ mào zǐ”. This saying dates back to the Yuan dynasty where the relatives of prostitutes where forces to wear green hats. Thus, in Chinese culture, if you are given a green hat by your significant other, he or she has been unfaithful. Today it is mostly a saying, however it is a good idea to avoid wearing a green hat, or giving it as a gift.
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