TradeGlean
A step-by-step collection

Candlestick Reading for Beginners

Learn candle anatomy, reversal and continuation patterns, then connect the signal to entry conditions, invalidation, and position risk.

16 articles88 min totalComplete
Start with the first article

Start with candle anatomy and context, then use the individual pattern guides as a visual reference. Each guide explains the shape, location, trigger, and failure condition. The final three articles are optional intermediate techniques; they are not prerequisites for understanding the basics.

Follow the suggested order, or open the technique you need. Examples are for learning, not trade signals.

Your learning path

Begin with anatomy and context

  1. How to Read Candlesticks: Bodies, Wicks, and DirectionUnderstand the open, high, low, and close, calculate bodies and wicks, and distinguish what a candle shows from what it cannot tell you.Beginner · 5 min read
  2. Bullish or Bearish? Put Candlestick Signals in ContextChoose a bullish or bearish bias from the trend, signal location, and completed pattern, then define the trigger and the price that changes your view.Beginner · 6 min read

Single-candle signals

  1. Doji and Spinning Tops: Read the Pause, Then the BreakUse doji and spinning tops to read a pause within a trend, identify reversal warnings at key levels, and follow the break that establishes direction.Beginner · 5 min read
  2. Dragonfly and Gravestone Doji: Bullish vs. Bearish SignalsRecognize dragonfly and gravestone doji from their wicks and closing prices, then apply their bullish and bearish readings at support and resistance.Beginner · 5 min read
  3. Hammer vs. Hanging Man: Identify the Shape and DirectionRecognize a hammer or hanging man from its body, lower wick, and trend position, then learn the bullish and bearish triggers for each setup.Beginner · 5 min read
  4. Shooting Star vs. Inverted Hammer: Which Way to Read It?Identify long-upper-wick candles and distinguish a bearish shooting star at resistance from a bullish inverted-hammer setup after a decline.Beginner · 5 min read

Reversal combinations

  1. Engulfing Patterns: Recognize Bullish and Bearish ReversalsIdentify bullish and bearish engulfing patterns by comparing two candle bodies, then use location, confirmation, and invalidation to read the next move.Beginner · 6 min read
  2. Piercing Pattern and Dark Cloud Cover: Read the ReversalRecognize these two-candle reversal signals using the body midpoint, then apply a bullish piercing pattern or bearish dark cloud cover at the right level.Intermediate · 6 min read
  3. Morning Star vs. Evening Star: Identify the TurnRecognize the three candles of a morning or evening star, check the final close, and apply the bullish or bearish reversal method.Beginner · 5 min read

Momentum and continuation

  1. Three White Soldiers and Black Crows: Read the DirectionIdentify three white soldiers and three black crows from their bodies, opens, and closes, then use the sequence to read bullish or bearish pressure.Beginner · 5 min read
  2. Rising and Falling Three Methods: Spot Trend ContinuationIdentify the five candles of rising and falling three methods, check the pullback boundaries, and use the final close to read bullish or bearish continuation.Intermediate · 5 min read
  3. Breakout Candles: Identify Bullish and Bearish BreaksLearn what a breakout candle is, compare bullish and bearish closing breaks, spot wick-only attempts, and separate confirmation from an entry fill.Beginner · 7 min read

Connect the signal to risk

  1. Build a Trading Plan from a Bullish or Bearish SignalTurn a directional candlestick signal into a complete trading plan: identify the pattern, define an entry, set the failure boundary, and calculate size.Beginner · 6 min read

Optional intermediate techniques

  1. Wick Reclaims: Read Bullish and Bearish ContinuationIdentify a candle body reclaiming an earlier wick, distinguish a full reclaim from a brief touch, and use the completed pair to read trend continuation.Intermediate · 6 min read
  2. Three-Candle Continuation: Identify the Next PushRecognize a push, contained pullback, and renewed push, then use green-red-green or red-green-red sequences to read bullish or bearish continuation.Intermediate · 5 min read
  3. A Candle Crossing Three EMAs: Recognize the Bullish SetupIdentify a green body crossing the 5-, 10-, and 30-period EMAs, then use a range break and retest to turn that bullish shift into a practical setup.Intermediate · 6 min read

Need an introduction to day trading first?

Read the beginner’s guide