Candlestick Charting Demystified

Unlock the Power of Price Patterns with Candlestick Clarity

Candlestick Charting DeMystified by Wayne A. Corbitt offers a clear, structured, and highly practical guide for traders who want to master the art of candlestick analysis. Whether you’re a beginner or a seasoned trader looking to refine your entry and exit strategies, this book serves as a perfect tool to bridge the gap between classic candlestick theory and real-world technical analysis.

Corbitt, a Chartered Market Technician with years of experience designing automated trading systems, breaks down the principles of candlestick charting in a logical and accessible format. He starts by introducing the psychology behind candlesticks, then gradually builds toward identifying reversal and continuation patterns, integrating them with trendlines, support/resistance, and Western indicators like momentum and volume.

What makes this book stand out is its “DeMystified” approach—teaching with clarity, step-by-step explanations, and plenty of real chart examples. You’ll also find self-tests and quizzes throughout, making it easy to track your understanding.

Whether you want to avoid the trap of “buy and hold” or gain an edge with pattern-based analysis, this book offers a comprehensive foundation to help you read market signals and act with precision.

What You’ll Learn

• How candlesticks reveal market psychology and trader sentiment
• The structure and meaning of basic candlestick components (bodies, shadows, gaps)
• High-probability reversal and continuation patterns, including hammers, dojis, engulfing lines, and more
• How to combine candlesticks with momentum, volume, and trend analysis
• Advanced concepts like Sakata’s strategies, three gaps, and multi-candle formations
• Real trading examples with risk management principles

Key Benefits

• Learn a proven visual method to time trades more effectively
• Avoid false signals by combining candlestick patterns with other technical tools
• Gain insights from a professional with algorithmic trading experience
• Includes quizzes and tests to reinforce your learning
• Ideal for traders looking to deepen both the theory and practice of candlestick analysis

Who This Book Is For

• Beginner to Intermediate traders learning technical analysis
• Anyone tired of lagging indicators and looking for real-time price signals
• Traders interested in Japanese candlestick charting with Western integration
• Investors looking to build a structured price-action system

Table of Contents

1. The Case for Candlesticks
2. Candlestick Charting in Technical Analysis
3. Candlestick Construction and Basic Candle Lines
4. Candlestick Reversal Patterns
5. Candlestick Continuation Patterns
6. Sakata’s Strategies and Longer-Term Candle Patterns
7. Basic Technical Analysis
8. Candlesticks and Momentum Indicators
9. Candlesticks and Volume
10. Weight of the Evidence—Trading Examples
    – Final Exam, Quizzes, and Index