How to Read Candlestick Patterns: A Beginner’s Guide to Price Action Trading

Introduction : Candlestick charts have powered traders’ decisions for over a century. Their visually intuitive formations reveal **market psychology**—where buyers and sellers battle. In this guide, you’ll discover: - Core candlestick chart anatomy - The **Top 7** patterns every trader needs - Real-world examples with screenshots - A **step-by-step** trade setup using candlesticks - Pro tips for confirmation & risk management By the end, you’ll know **how to read** and **act on** patterns such as Doji Hammer Engulfing Rising star to improve your **price action trading**. ## 1. Candlestick Chart Anatomy Each candlestick conveys four price points: | Element | Definition | |--------------|-------------------------------------| | **Open** | Price at period start | | **Close** | Price at period end | | **High** | Highest pric...