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what is price action?


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A lot of people have this question in mind, what exactly is PRICE ACTION.

And why is PRICE ACTION KING IN FOREX?

To answer the above question, i start off with talking about indicators.

There are tons of indicators out there, be it forex or others. They work mostly the same way.

And there are new indicators coming out every other day.

Alot of traders when they first started trading forex, they have tons on indicators on their charts. Trying different combination of which works best for them. And at the end of the day, they get confused all over as one indicator may be telling you to go long, but the other is telling you to go short.

Which will result in you making bad decisions and end up blowing your account with a frustrated mind.

Why does it happen this way? Indicators are derived from the chart movements. Some indicators react faster, some slower.

However, as they are derived from the chart movements. They are 1 step slower than the chart. Which is in fact Price Action!

Price Action leads the indicators, and when price reverses it movement from short to long (example). The indicator which you are watching is one step too late. And by the time the indicator confirms it is going short, Price Action has taken the market to go Long.

This happens most of time, if not all of the time.

Therefore = ALL INDICATORS ARE LAGGING INDICATORS!

PRICE ACTION IS WHAT LEADS THE INDICATORS, IT IS KING IN FOREX!

By understanding Price action in forex trading, we are able to understand the ENTIRE PICTURE of the market.

WHY is the market moving up,

WHAT causes it to stop moving,

WHY is the market reversing

WHY is the market in consolidation

IT is like reading a book once you have mastered price action in forex. And the best thing is, It is not difficult!

It is even easier than you reading an indicator.

And when you mastered price action, with combination of our system. You will almost be able to pick absolutely MARVELLOUS TRADES all the time. CONFLUENCE is the King of the game. This is what equates to our high probablity trades with a high winning ratio.

To an Awesome Trading as Always,

Ezekiel Chew

www.asiaforexmentor.com

post-4093-0-75451500-1321835117_thumb.jpg

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I think this is simple its simply the movement and the settlement of currency pair which buyers and sellers agree on excecutions of deals at that particular time. But the main issue here should be when the market is moving either in up trend or down trend the action of the market is control by the price action

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  • 8 years later...

According to its most basic definition, price action is a trading strategy in which an investor makes all forex trading decisions solely based on the price movement of a currency. In a price action strategy, there are no technical indicators used to determine whether a currency is supporting or resisting a particular trend. In the end, the price chart takes into account all the different complex strategies used by investors around the world. Because the price chart will inevitably come to reflect the impact of external global events on its own, there is no need to predict their impact on the market.

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2 hours ago, Upoctin said:

According to its most basic definition, price action is a trading strategy in which an investor makes all forex trading decisions solely based on the price movement of a currency. In a price action strategy, there are no technical indicators used to determine whether a currency is supporting or resisting a particular trend. In the end, the price chart takes into account all the different complex strategies used by investors around the world. Because the price chart will inevitably come to reflect the impact of external global events on its own, there is no need to predict their impact on the market.

We need to select a foreign exchange trading strategy that is less risky for us and with the help of which we can easily make more income from the foreign exchange trading.

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On 10/18/2021 at 10:00 AM, uncle gober said:

for novice traders, it is true that the selection of the existing broker must be able to be considered properly, this is done so that traders can be more leverage in getting maximum trading security and comfort like what I got from Tickmill.

In the business of Foreign Exchange market we will need to use a Trading Plan that is Easy to understand by us.

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  • 1 month later...
On 11/21/2011 at 4:25 AM, asiaforexmentor said:

A lot of people have this question in mind, what exactly is PRICE ACTION.

And why is PRICE ACTION KING IN FOREX?

To answer the above question, i start off with talking about indicators.

There are tons of indicators out there, be it forex or others. They work mostly the same way.

And there are new indicators coming out every other day.

Alot of traders when they first started trading forex, they have tons on indicators on their charts. Trying different combination of which works best for them. And at the end of the day, they get confused all over as one indicator may be telling you to go long, but the other is telling you to go short.

Which will result in you making bad decisions and end up blowing your account with a frustrated mind.

Why does it happen this way? Indicators are derived from the chart movements. Some indicators react faster, some slower.

However, as they are derived from the chart movements. They are 1 step slower than the chart. Which is in fact Price Action!

Price Action leads the indicators, and when price reverses it movement from short to long (example). The indicator which you are watching is one step too late. And by the time the indicator confirms it is going short, Price Action has taken the market to go Long.

This happens most of time, if not all of the time.

Therefore = ALL INDICATORS ARE LAGGING INDICATORS!

PRICE ACTION IS WHAT LEADS THE INDICATORS, IT IS KING IN FOREX!

By understanding Price action in forex trading, we are able to understand the ENTIRE PICTURE of the market.

WHY is the market moving up,

WHAT causes it to stop moving,

WHY is the market reversing

WHY is the market in consolidation

IT is like reading a book once you have mastered price action in forex. And the best thing is, It is not difficult!

It is even easier than you reading an indicator.

And when you mastered price action, with combination of our system. You will almost be able to pick absolutely MARVELLOUS TRADES all the time. CONFLUENCE is the King of the game. This is what equates to our high probablity trades with a high winning ratio.

To an Awesome Trading as Always,

Ezekiel Chew

www.asiaforexmentor.com

post-4093-0-75451500-1321835117_thumb.jpg

Price action is a very powerful tool but it requites well trained eye, i.e. you have to watch for different trading setups and memorize them and the more patterns you learned the higher the accuracy will be

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