Golden Rejection Candle Strategy–Catch Explosive Intraday Moves!Golden Rejection Candle Strategy – Catch Explosive Intraday Moves Like a Pro!
Hello Traders!
Are you tired of buying options and watching premiums die slowly?
Or chasing breakouts that reverse the moment you enter?
Here’s your solution – the Golden Rejection Candle Strategy , designed especially for option buyers who want timed entries, fast momentum, and defined risk .
What is a Golden Rejection Candle?
A special candlestick that forms when price hits a strong level (like VWAP, trendline, or demand/supply zone) and gets instantly rejected.
It leaves behind a long wick (shadow), showing that buyers or sellers stepped in with force .
This candle often marks the start of a sharp intraday reversal .
It's not just a random wick — it’s a smart money footprint .
Live Chart Example – Nifty Spot vs Option Premium (23950 CE)
Date: 9th May 2025
Timeframe: 1 min (Spot), 1 min (Options)
Spot Chart Setup: Nifty approached a marked green support zone and created a strong wick rejection with a small body candle — classic sign of buyers defending the level.
Confirmation Candle: The next candle broke above the rejection candle’s high, confirming the reversal setup.
Premium Reaction: On the 1-min ATM Option chart (23950 CE), premiums jumped from 270 to 344 – a clean 26% gain within minutes.
Risk-Reward Snapshot: Entry was at breakout, SL just below rejection wick, and target hit in a single momentum burst — the kind of move option buyers live for.
How to Trade It as an Option Buyer
Choose the Right Strike: Use ATM or slightly ITM options to get faster movement when price reverses.
Entry Strategy: Wait for the next candle to break the rejection candle’s high/low. No break = No trade.
SL Placement: Keep it just beyond the wick. Small loss if wrong, big reward if right.
Exit Plan: Aim for intraday resistance/support or spike-based exits — option premiums often give quick moves post-rejection.
What NOT to Do:
Don’t enter on the rejection candle itself — wait for confirmation.
Avoid trading this pattern in low volume or middle of the range.
Don’t hold blindly — if premium spikes, take the money and run!
Rahul’s Tip:
“Sudden reversals are where option buyers make money — not slow trends. The rejection candle shows intent. The breakout shows confirmation. Combine both.”
Conclusion:
The Golden Rejection Candle Strategy gives you an edge that most random trades lack — timing, context, and structure.
If you're an option buyer, this can be your go-to setup to avoid traps and enter only when smart money steps in.
No more guessing. No more fear.
Just clean, price-action-based entries that make sense.
👇 Have you ever used rejection-based setups? Drop your favorite trade below! Let’s learn together.
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