Price Action

Price Action means reading the market without relying on indicators.

You study candles, wicks, momentum, liquidity and structure to understand what buyers and sellers are doing.

Price leaves clues. Your job is to read them.

Candle Basics

Each candle tells a story.

• Long wick = rejection or liquidity grab
• Large body = strong momentum
• Small body = hesitation or consolidation
• Strong close = buyers or sellers stayed in control

The candle close matters more than the candle shape.

Price Action = Context

A candle alone means very little.

Always ask:

• Is price at support or resistance?
• Did liquidity get taken?
• What does market structure show?
• Does volume support the move?

Without context, candles become noise.

Core Price Action Signals

• Sweep + rejection = possible reversal
• Break + retest = possible continuation
• Engulfing candle = momentum shift
• Compression = breakout may be coming

Signals become stronger when structure confirms them.

Price Action Rule Framework

• Wick = rejection signal
• Body = momentum strength
• Context = confirmation

A strong candle means little without context.

Common Mistakes

• Chasing large candles
• Trading patterns without context
• Ignoring liquidity
• Reading candles without structure

Strong traders read the story of the chart, not only one candle.

Quick Recap

• Price Action = candles + context
• Wicks show rejection
• Large bodies show strength
• Structure confirms signals
• Context matters most