Welcome to
CWRV
Candle Wicks Reading with Volume
Version- 0.2
Page-1
Validation
Volume of 2nd and 3rd candle is decreasing or increasing in same direction that is Validation
Validate = Continution
Validate = Continution
Validate = Continution
Validate = Continution
Page-2
Anomaly
Volume of 2nd and 3rd candle is Abnormal (One is increasing and other is decreasing)
Anomaly = Reversal Anomaly = Reversal
Anomaly = Reversal Anomaly = Reversal
Page-3
Page-4
Page-5
Rules-1 (Similar wicks)concept-1
In this concept we focus on wicks of two candles. The wicks should be same of both candles like uppe
wick of 1st and 2nd candle is big and lower wick is small. (We don’t compare the size of both wicks
candle. We only see the wicks of the candle itself.)
Validate = Continution Validate = Continution
Validate = Continution Validate = Continution
Then the 2nd conformation will be the volume. If the volume is showing validation then we do a
continuation trade,
(The color of the candles Should be same. ) Page-6
Rules-1 (Similar wicks)concept-1
but if the volume is showing anomaly then place a reverse trade.
Anomaly = reversal Anomaly = reversal
Anomaly = reversal
Anomaly = reversal
(The color of the candles Should be same. )
Page-7
Rules-1 (One Side wicks)concept-2
In this concept we only focus in one side wicks. The wicks of the candle should be on
one side only. Just like concept 1 we also place the trades by seeing validation and
anomaly.
Anomaly = reversal Anomaly = reversal
Validate = Continution Validate = Continution
Page-8
Rules-1 (Opposite wicks)concept-3
In this concept we focus on wicks of 2 candles but the bigger wicks should be on opposite sides.
Like the 1st candle have a bigger wick on down side and then the 2nd candle have a bigger wick
on the upper side. then it will be our opposite wicks concept .
In this we don’t take trades like we did in previous concept 1 and 2. Here if the volume is showing
validation then we place a reverse trade and if the volume is showing anomaly then we place a
continuation trade.
Anomaly = continusion Anomaly = continusion
Validation = reversal Validation = reversial
Page-9
Rules-1 (Opposite wicks colour change)concept-4
Anomaly = Reversal Anomaly = Reversal
Validation = continusion Validation = continusion
In opposite wickes colour change if we see volume Validation then market will
continue & if Volume show Anomaly then market will Reverse .
Page-10
Rules-2 (Colour change)concept-1
In Rule-2 Colour change concept 1 we can see Validation on volume. But this is not important, at
first we have to go previous 3rd candle and read from 3rd candle to last candle. Then in 2nd
candle any party power less then in next candle (3rd candle) opposite party should be strong. If
opposite party increase there volume then next 4th candle will be that party or other party will
Come again.
(NOTE: in colour change no rules will consider only read candle previous 3rd candle to last
candle.) Page-11
Rules-2 (Colour change)concept-2
In Rule-2 Colour change concept 2 we can see Anomaly on volume. But this is not important, at
first we have to go previous 3rd candle and read from 3rd candle to last candle. Then in 2nd
candle any party power less then in next candle (3rd candle) opposite party should be strong. If
opposite party increase there volume then next 4th candle will be that party or other party will
Come again.
(NOTE: in colour change no rules will consider only read candle previous 3rd candle to last
candle.) Page-12
Rules-3 (length)concept-1
When two same candles & we can;t use rule 1 or 2. Then we have to
use Rule-3(length analysis).
Small wick Low volume - Continue
Small wick High volume - Reversal
Reversial
Reversial Continusion
Continusion
Page-13
Rules-3 (length)concept-2
When two same candles & we can;t use rule 1 or 2. Then we have to
use Rule-3(length analysis).
Long wick High volume - Continue
Long wick Low volume - Reversal
Reversial Continusion Reversial Continusion
Page-14
Marubozu Candles
All are Marubozu candles
Page-15
Marubozu Rules
Page-16
Rules of CWRV 123
Candle 1 : Buyer - Weak Candle 1 : Seller - Weak
Candle 2 : Buyer - Weak Candle 2 : Seller - Weak
Candle 3 : Seller - Strong + High volume Candle 3 : Buyer - Strong + High volume
Candle 4 will Red candle. Candle 4 will Green candle.
Official CWRV
Unofficial CWRV
1 Normal candle
Marubozu
2 1
3 2
3
Page-18
Master of CWRV : Rahul Chohan
Editor: (1) Rafiul Haque Sanchay. ( UPDATE-0.2 , 0.1 )
& (2) Malay (UPDATE-0.1)
