The lesson on YouTube
Watch. Then work through the idea.
Watch the English lesson first, then use the worked example and quiz below to check the idea. The article is a companion, not a transcript.
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What is actually happening?
An inside bar is defined relative to a prior candle’s range. A doji describes a small open–close difference relative to a chosen rule. One relationship concerns two ranges; the other concerns one candle’s body. Neither identifies future direction.
Guided example · Parent, child and alternative · synthetic bars
Containment and body size are different
Compare each candidate with the same parent range.
Restart & example assumptions
Authored synthetic observations, shown in sequence. Every comparison uses only the revealed data. This is a worked learning example, not live prices, broker execution or a profitability backtest. Follow the article’s exact definitions; measurements and pattern names alone do not authorize a trade.
For charts: tap a candle or swing to inspect it; drag horizontally to browse; wheel or +/− to zoom; arrow keys to inspect; Home to restore the step view.
Make the conditions explicit.
The source lesson uses strict range containment: the child high is below the parent high and its low is above the parent low. Define the tolerance for a near-equal open and close separately.
Compare high and low to establish containment. Then measure body size, rather than assuming that all short-range candles have a doji body.
If either extreme falls outside the parent range, strict inside containment fails—even when the open and close are identical.
The quoted rules are illustrative research specifications. Parameters are not recommendations and have not been presented as profitable backtest results.
What can this cost?
Compression alone does not choose a trade direction. A narrow stop can make costs large relative to risk, while an outside expansion can execute beyond an assumed level.
How the idea can fail.
A small-body candle can have long wicks and a large total range. Describing it simply as “quiet” can hide substantial intrabar travel.
Practical habit
Write body size and range size as separate numbers beside the timeframe.
Go one level deeper
Fix equality and tolerance rules in the test specification. Small changes can materially change which bars qualify.
Check your understanding
O100/C100, H108/L96 follows a parent H106/L94. Under strict containment, which label fits?
Further reading & boundaries
These examples are original educational exercises. General background: CME Group: position sizing; Fidelity: technical analysis. Neither endorses these example rules. No hypothetical result establishes future profitability.
Editorial revision: 13 October 2026 · Synthetic data · Educational use