Trends, order fills and a famous day-trading setup

Read candles and the order book as descriptions, then turn a popular trading pattern into rules you can actually test.

Module 3 of 26, in the stage "How markets work". 6 lessons.

Lessons

1. Candles and trendsDefine candles, swing points and breaks without assuming a chart shape causes anything. 18 min.
2. How your order actually gets filledExplain bid, ask, spread, depth and imbalance, and why a fill is never promised. 18 min.
3. A popular day-trading pattern, testedTurn a pattern a teacher describes into clear rules with times attached, and keep the claim separate from what was measured. 18 min.
4. Fair value gaps and order blocks, defined and testedDefine a fair value gap with numbers, see why order blocks resist testing, and read Tickfloor’s results honestly. 16 min.
5. Opening ranges, sessions and ‘killzones’Write session and killzone setups as testable time-window breakout rules. 16 min.
6. Who is on the other side of your trade?Describe market makers, index funds and other traders, why each trades, and what a time-and-sales print can and cannot tell you. 14 min.

Concepts covered

• Candlestick patterns
• Bid-ask spread
• Backtest
• Fair value gap
• Opening range
• Breakout

Keep going

• Previous module: Why prices move, and why beating the market is hard
• Next module: Market hours, sessions and auctions
• All 26 modules and 157 lessons
• Open the first lesson in the course

General information only. It doesn't consider your objectives, finances or needs. Tickfloor holds no financial services licence and never places trades.