65-Day Academy · Day 3 · Foundations
Reading the Wick — Where the Fight Was Lost
Rejection leaves a shadow
Yesterday you learned candle anatomy. Today, one drill: find the long wick and ask "who attacked, and who won?" Long lower wick after a decline: sellers pushed down, buyers absorbed everything — a potential floor forming. Long upper wick after a rally: buyers pushed up, sellers swatted it back — a potential ceiling.
One candle is a data point, not a signal
A hammer by itself is noise. A hammer at a known support zone after a multi-day decline, on elevated volume, followed by a green confirmation candle — that is a setup. The pattern is the match; the context is the fire. Never trade a pattern in isolation. This course will hammer (pun intended) this into you until it is reflex.
What you'll practise
Candle: Open 50, High 50.4, Low 44, Close 49.6 — appearing after a 5-day decline into a known support zone. What does the long lower wick suggest?
15 XP in the app · introductory
Sources
- Hammer & Shooting StarInvestopedia
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All lessons are for educational purposes only and are not individualized financial advice, a recommendation, or a solicitation to buy or sell any security. Options involve substantial risk and are not suitable for every investor.