Price Action

Advanced Candlestick Analysis

 How to Study Candlestick
 Candlestick Analysis
Back to: Trading with Smart Money
 Price Action Analysis
 Advanced Price Action
Analysis
Advanced Candlestick Analysis in Trading
 Thrust Pullback and
Measuring Move Analysis In this article, I am going to discuss Advanced Candlestick Analysis in Trading. Please read the Price
 How to Trade with Smart Action Analysis article before proceeding to this article. As part of this article, I am going to discuss the
Money following pointers in detail.
 Supply and Demand
Zone Trading 1. Advanced Candlestick Analysis
2. What price action validates the resistance/support level?
 How to Day Trade with
3. What price action disconfirms the resistance/support level?
Trend
 Multiple Time Frame Candlestick Analysis in Trading:
Analysis
 Head and Shoulder Each candlestick tells a story as they are a reflection of what buyers and sellers are doing or what the market
Pattern is telling you. Use candlestick with support and resistance area

 How to Trade with

1. Support tends to break in a downtrend
Support and Resistance
2. Resistance tends to break in an uptrend
 Advanced Candlestick
3. Support and Resistance tend to break when there is a tight range at SR level
Analysis
4. The more/frequently test of support resistance is weakening this level and break the level
 Trendline Trading
Strategy Then how to know whether the price will reverse from support or resistance or break level. I mean whether
price confirms or disconfirm as support or resistance.
 WRB Trading Strategy

Day Trading Strategies DISCONFIRMATION AND CONFIRMATION

 VWAP Trading Strategy
At resistance we expect the price to reverse or supply exceed demand confirms the supply.
 Gap Trading Strategy
 Intraday Open High Open
What price action validates the resistance level?
Low Trading Strategy
 PIN BAR Trading Strategy 1. Clear Rejection from resistance in the form of the pin bar or outside bar or engulfing bar
 Trading with Sideways 2. Momentum loss when approaching resistance
Price Action Area 3. Unable to close above the resistance level
 Pullback Trading Strategy 4. Low volume candle when approaching resistance

 Intraday Breakout Trading

CANDLE REJECTION
Strategy

Risk Management Single candle rejection (pin bar)

 3 Techniques for Risk
In an established downtrend any Clear Rejection from resistance in the form of the pin bar or outside bar or
Management in Trading
engulfing bar confirm the resistance level

Stock Selection & Live

Scanner
 How to make own Day
Trading Scanner
 Stock Selection for
Intraday Trading

Intraday Trading Course

2020
 Intraday Trading Course
  Multiple Timeframe
Analysis for Intraday
Trading
 VWAP Trading
 Opening Range Trading
Strategy
 Opening Range Breakout

Volume Price Action

Analysis
 Volume Analysis in
Trading
 Volume Price Action
Analysis
 Volume Spread Analysis
in Trading
 Candlestick Pattern
Analysis
 Finding Entry
Opportunity using
Volume Spread Analysis
 Spring and Upthrust
Trading Strategy
 VSA Trading Strategy

Option Chain Analysis

 Option Chain Analysis

Indicator
 RSI Trading Strategy

BTST
 BTST Trading Strategy

TECHNICAL ANALYSIS
MULTIPLE CANDLE REJECTION
MASTERCLASS
 Technical Analysis Better if multiple candlesticks are rejecting an area as this shows that price tried over and over but failed
 Market Structure When multiple candles refuse to go UP or rejection from resistance they ultimately go down Below are
 Understanding Market some example of multiple rejection candle from an area
Structure through Swing
 Supply and Demand
Trading (Part – 1)
 Supply and Demand
Trading (Part – 2)
REJECTION CANDLE SHOULD CONFIRM BY FOLLOW THROUGH CANDLE

The next candle should follow-through candle for validation of rejection candle

Momentum loss is the key to reversal when approaching a key level

1. Candle getting smaller and multiple colors with wicks signal that buyers or sellers are losing strength
2. Even better when it finishes with long wick candles (for bullish reversal lower ling wick and fro bearish
reversal upper long wick)

Below is the example of bullish reversal

Price unable close above the resistance

Buyers trying hard to close above the resistance level, each time they failed shows supply coming and trying
to dominate demand
Volume

In an up-move, where the price is getting close to the upper trend line (resistance Line), and low volume
appearing will tell you that the trend line is likely to hold for that moment in time because there is no effort to
change the trend (you need buying to push through resistance).

The resistance area which needs demand pressure to penetrate it. Low volume tells us there is little demand
and thus the line is likely to hold.
What price action disconfirms the resistance?

1. Candle spread and volume increasing when approaching the resistance level
2. If price hug the resistance and hold it disconfirm the supply and shows the presence of

Candle spread and volume increasing when approaching the resistance level

In an up-move, where the price is getting close to the upper trend line (resistance Line), and low volume
appearing will tell you that the trend line is likely to hold for that moment in time because there is no effort to
change the trend (you need buying to push through resistance).

If the volume is high, with a widespread up, whilst the price is getting close to the upper trend line, we would
expect to see the trend line broken due to the extra effort and the next day is level or even higher, then you
would now be expecting higher prices. Any low volume down-day (potential test) will confirm this view
If price hug the resistance and hold it disconfirm the supply and shows the presence of demand

1. Price hold (unable to react) after a drive up

2. The price will move up at resistance price form a tight trading range. Nevermore than 50% of the
previous drive up. Tighter the better

The main characteristic of BUYERS overcoming SELLERS is the repeated inability of prices to REACT away
from the danger point(resistance). Such hugging of the HIGH usually leads to a breakout. Persistently heavy
volume hammering the HIGH usually says a break is Imminent
In the next article, I am going to discuss the Trendline Trading Strategy in detail. Here, in this article, I try to
explain the Advanced Candlestick Analysis in Trading. I hope you enjoy this Advanced Candlestick
Analysis in Trading article. Please join my Telegram Channel to learn more and clear your doubts.
https://t.me/tradingwithsmartmoney.

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How to Trade with Support and Trendline Trading Strategy
Resistance

8 thoughts on “Advanced Candlestick Analysis”

VIJAY
FEBRUARY 16, 2020 AT 7:19 AM

Good information provided, my watch so far goes like this, this is like a village Shandy with goods and sellers
and buyers. Demand and supply with its intrinsic volume creates the ups and downs and feel that volume is a
great factor that influence .t.tpriwhich

Reply

DILEEP DHURVEY
FEBRUARY 18, 2020 AT 11:41 PM

Very precious knowledge

Reply
 AMEYA SAWANT
JUNE 1, 2020 AT 4:19 PM

Your information really helps a lot. It’s the purest form of price action.

Reply

NIMIT
SEPTEMBER 20, 2020 AT 8:25 AM

Sir

Can you pls share a course on options buying and what possible price action strategies can be implemented
there

Reply

SATISH JAGDHANE
OCTOBER 19, 2020 AT 2:09 PM

Never seen such excellent training whether paid course or free. Kudos to Teacher

Reply

AKASH
OCTOBER 22, 2020 AT 9:30 PM

Its impossible… No other bloggers or youtubers ever shared the information that you have share in your
youtube channel and this blog. Pure Price Action… Thanks Sir 🙂

Reply

SHATRUGHAN SINGH
NOVEMBER 18, 2020 AT 7:48 AM

Thanku sir…u have changed my life. You are a real teacher ..u taught us very deeply …thanks o lot again.
I read every single article and watch every video.We eagerly wait for both.
Salute to you sir.

Reply

DIVYANSH NIGAM
FEBRUARY 26, 2021 AT 5:18 PM

its awesome and brillient sir please provide us with this type of information more Frequent with help of
videos or by posting it .

Reply

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