How Markets Work
How markets actually work: price discovery, supply and demand, market participants, order types, the bid-ask spread, candlestick charts, timeframes, volume analysis, trading sessions, and the economic calendar.
About This Module
Before you can trade anything, you need to understand how markets actually work. Not the textbook version. The mechanical reality: what happens when you click buy, who's on the other side, why price moves, and how the pieces fit together. This module starts with price discovery and supply/demand, then covers market types, order mechanics, the bid-ask spread, how to read candlestick charts, timeframe selection, volume analysis, trading sessions and market hours, and the economic calendar. Ten lessons, each building on the last, taking you from 'what is a market' to 'I can read a chart and know when the big moves are coming.'
Lesson Plan
What Is a Market and Why It Exists
Explain why price moves using supply and demand, and identify when price is above or below fair value in any market. A core futures trading concept.
Who's on the Other Side of Your Trade
Every trade has a counterparty. Learn who the four types of market participants are and how exchange infrastructure keeps the system running.
Types of Financial Markets
Stocks, futures, forex, options, crypto: each market has different mechanics, costs, and rules. Learn what sets futures apart for active traders.
How Orders Actually Work
Market, limit, stop, stop-limit: learn what happens between clicking buy and getting filled, why the wrong order type costs money, and how to choose correctly.
The Bid, the Ask, and the Spread
The bid ask spread in futures trading is a cost you pay on every trade. Calculate spread costs on ES and NQ, and learn how trade frequency drains accounts.
Reading a Price Chart
Learn to read candlestick charts by understanding OHLC data, candle anatomy, what wicks and bodies reveal about buyer-seller control, and chart sequences.
Timeframes and What They Mean
Understand why the same market looks different on a 1-minute vs daily chart, how to choose a primary timeframe, and how multi-timeframe analysis works.
Volume: The Market's Footprint
Volume reveals how many traders backed a price move. Learn to read volume bars, spot confirmation patterns, and why futures volume data beats tick volume.
Trading Sessions and Market Hours
Futures markets trade nearly 23 hours a day. Learn the three sessions, when volume peaks, and why session timing shapes your trading plan and execution.
The Economic Calendar and News Events
The economic calendar tells you when major data releases happen. Learn which events move ES and NQ, how news creates volatility, and how to protect yourself.
Start This Module
Work through each lesson in order. When you're done, continue to Reading Price Action.