The CRT Candle Framework is a price-action trading approach that focuses on understanding how price interacts with the high and low of a specific candle or defined trading range. CRT is commonly used to identify potential liquidity sweeps, reversals, and directional moves without relying heavily on traditional indicators. The framework is based on the idea that price may first move beyond one side of a range to collect liquidity before reversing toward the opposite side.

In a typical CRT setup, traders identify an important reference candle and mark its high and low. They then observe how subsequent price action reacts around these boundaries. For example, if price moves below the candle's low, takes liquidity, and then shows bullish confirmation, a trader may consider a long opportunity targeting the opposite side of the range. The same concept can be applied in reverse when price sweeps the candle's high and subsequently turns bearish.

The framework can be used across different markets, including forex, cryptocurrencies, indices, and futures. Traders may also combine CRT with market structure, Fair Value Gaps (FVGs), Order Blocks, liquidity levels, and session timing to strengthen their analysis.

Risk management remains essential because not every liquidity sweep results in a reversal. Traders generally define their entry, stop-loss, and take-profit levels before entering a position. Backtesting is also useful for determining which CRT conditions work best for a particular market and timeframe.

Overall, the CRT Candle Framework provides a structured way to interpret candle ranges and liquidity behavior. Rather than predicting every market movement, it encourages traders to wait for specific price-action conditions before considering a trade.