Free lessons › Key Levels & Market Structure › Reading Candles in Context
Rejection candles
Wicks that mean something vs. wicks that are noise.
7 min · Beginner
What you'll learn
- Describe what a rejection candle shows about buyers and sellers
- Separate meaningful wicks from noise using location, close and volume
- Place invalidation beyond the wick instead of inside it
Key takeaways
- A wick shows where price was pushed back, but only wicks at key levels deserve attention.
- A real rejection has a large wick, a close back on the other side, and above-average volume.
- Never judge a wick until the candle has closed.
- Invalidation belongs beyond the wick, not inside it.
Glossary
- Wick — The thin part of a candle showing prices traded during the candle but not held at the close. Also called a shadow.
- Rejection candle — A candle at a key level with a long wick, a close back on the other side of the level and above-average volume.
- Candle body — The thick part of a candle between the open and the close.
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