Ansem: Understanding how high timeframe candles form on low timeframes is one of the most useful skills in trading.

BlockBeats news, November 3 - Renowned trader Ansem posted that understanding how higher timeframe candles form on lower timeframes is one of the most useful skills in trading. He pointed out that each candle roughly has only a few directions: staying within the previous range, breaking upward, or breaking downward. Once a directional bias forms, use lower timeframes to observe the progression of that higher timeframe candle and strive to find entry points before the higher timeframe closes.

Ansem gave an example, stating that a daily candle with a long lower wick often means the price moved down and then buyers pushed it back up. Learning to recognize these structures as the pattern develops helps better understand price action and decide position placement.