$BTC Introduction
In Part 3, we learned about Spot vs Futures trading.
Now in Part 4, beginners will learn:
What a trading chart isWhat candlesticks areHow to read basic price movementWhy candlesticks are important
No complex terms — only basics.
1️⃣ What Is a Trading Chart?
A trading chart shows:
Price movement over timeHow price goes up and down
📌 Traders use charts to understand market behavior.
2️⃣ What Is a Candlestick?
A candlestick shows 4 important prices:
Open – Price at startClose – Price at endHigh – Highest priceLow – Lowest price
Each candlestick represents a time period
(example: 1 minute, 5 minutes, 1 hour, 1 day)
3️⃣ Green vs Red Candlestick
🟢 Green Candle
Price closed higher than it openedBuyers were stronger
🔴 Red Candle
Price closed lower than it openedSellers were stronger
📌 Simple rule:
Green = Price up
Red = Price down
4️⃣ Candlestick Body & Wicks
Each candlestick has:
Body → Open to CloseUpper Wick → Highest priceLower Wick → Lowest price
📌 Long wick = price rejection
📌 Small body = indecision in market
5️⃣ Common Beginner Candlestick Signals
🔹 Strong Buying
Long green candleSmall upper wick
🔹 Strong Selling
Long red candleSmall lower wick
🔹 Confusion
Small bodyLong wicks on both sides
6️⃣ Timeframes (Very Important)
Short timeframe → More noiseHigher timeframe → More reliable
📌 Beginners should use:
1H (1 hour)4H (4 hour)1D (1 day)Avoid 1-minute charts ❌
7️⃣ Beginner Mistakes ❌
❌ Trading based on one candle
❌ Using very small timeframes
❌ Ignoring overall trend
❌ Over-analysis
8️⃣ Simple Beginner Advice ⭐
✔️ Candlesticks show market emotion
✔️ Combine candles with patience
✔️ Use Spot trading only
✔️ Practice on demo or small amount
Conclusion
Candlestick charts are the language of the market.
You don’t need to be an expert — just understand the basics.
First understand candles, then think about indicators
⚠️ Risk Disclaimer
Crypto trading involves risk. This article is for educational purposes only and not financial advice.
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