Before looking at levels and structure, it is worth looking at the brick everything is built from. A candle looks simple, but half the words in trading are about it.
One candle is one period of time. On a daily chart a candle is a day, on an hourly chart an hour. Everything price managed to do in that period is folded into a single shape.
A candle has two parts. The body runs from the open price to the close price. The wick shows where price went but did not hold. Closed higher than it opened — the body is light, lower — it is red.
And the point of this lesson: the wick shows an attempt, the body shows the result. Price can go anywhere it likes — what matters is where it stayed by the close. That is why in our breakdowns you will hear not that price touched a level, but that it closed a body beyond it. These are different events, and mixing them up is expensive.
Hover over any candle and the chart shows four numbers — open, high, low, close. High and low are the ends of the wicks, open and close are the edges of the body.
This is lesson zero of the "In Plain Words" course: start here if a chart is new to you.
The difference between a wick and a body is not just terminology. It is a working criterion: confirming a level by a body close, not a wick touch, is the basis of how the FocusProfit Trade Model indicator identifies confirmed extremes.
The next step is the lesson on liquidity — where and why stop orders pile up, and what moves price. A deeper breakdown is in the methodology section.
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