Candlestick charts show the battle between buyers and sellers. The body shows who won; wicks show failed attempts. Three green candles signal buying momentum, an engulfing pattern shows one side taking control, and a tiny candle with wicks followed by a large candle means indecision turning into conviction.
Candlesticks explained in less than a minute. Every candlestick shows you the results of a battle between buyers and sellers. The bodies show you who won. The wicks show you who tried but failed. A long upper wick means buyers tried to push price higher, but then they got rejected. And a long lower wick means that sellers try to push price lower, but they got rejected. Now here is what most traders miss. It's not about the individual candle, it's about what multiple candles are telling you together. 3 green candles in a row mean the buyers are winning consistently. This is momentum. A small candle followed by a large opposing candle that swallows it. Well, one side just took complete control. This is an engulfing pattern. A tiny candle with wicks on both sides followed by a massive candle. That is indecision breaking into conviction. The market has finally picked a side and will now expand rapidly. So the moment that you start reading the stories the market is telling you with candlesticks, that is when you'll become profitable. Now send this to a trader who ICT has brainwashed to help him out.
