Every candlestick compresses four facts about a time period: where price opened, the highest and lowest it travelled, and where it closed. Green (or white) candles closed above their open; red closed below. That is the entire alphabet — everything else is reading.
Stop memorising patterns; start reading pressure
Beginner courses list dozens of named patterns. Skip most of them. Ask two questions of any candle instead: where did it close within its range, and how big is it relative to recent candles? A candle that spiked below support but closed back above it tells you sellers were absorbed. A huge candle closing on its extreme tells you one side is in complete control — for now.
Wicks are rejections
A long wick marks prices the market visited and refused. Long lower wicks at a demand zone: buyers defending. Long upper wicks after a rally into resistance: sellers distributing. The wick's location gives it meaning — the same shape mid-range is mostly noise.
Context is 80% of the signal
A "bullish engulfing" in the middle of nowhere predicts little. The identical candle at a higher-timeframe order block, after a liquidity sweep, during London open, is a different animal entirely — because it now confirms a story that structure already suggested. This is why we teach candles last, after market structure and liquidity: candles confirm; they do not forecast.
A practical drill
Each evening, pick the day's three biggest candles on your pair and write one sentence: who won that battle, and at what level? A month of this builds more reading skill than a hundred pattern flashcards.
Education only — not financial advice. Trading carries risk of loss; never trade money you cannot afford to lose.
