What is price action trading?
- Thread starter Coner1980
- Start date
What says Al Brooks on Reversion to Mean?
"If you learn how to recognize potential lower low major trend reversals, and either buy them or wait for a breakout and then buy, I think you’re in good shape."
Al Brooks
https://www.brookstradingcourse.com/ask-al/backtesting/
Al Brooks
https://www.brookstradingcourse.com/ask-al/backtesting/
Traders in price action strategy trade according to the price movements of the currencies.
Open up a chart...remove all the indicators and the only thing you see are just intervals.
Another type of price action trading is for traders that makes their trade decision from the data shown in their DOM (price ladders, market depth, etc).
Regardless to the above, probably hundred's of different ways (sub-groups) to trade as a price action trader within the above.
wrbtrader
PRICE ACTION
“Now, 2 patterns of market behavior happen on a regular basis:
1) the price breaks to new high's (or low's)
2) the price reverses from new high's (or low's)
They happen regardless of time frame.
They are phenomena that can be exploited without the fear if found out by others, that they might cease to exist.” - H. Rearden
1) Price will either breakout of the high, low or both of the previous bar
2) Price will not breakout of the previous bar.
3) Price will either close above a level (line) or not.
You cannot reduce it any further. Anything else complicates the issue.
“Now, 2 patterns of market behavior happen on a regular basis:
1) the price breaks to new high's (or low's)
2) the price reverses from new high's (or low's)
They happen regardless of time frame.
They are phenomena that can be exploited without the fear if found out by others, that they might cease to exist.” - H. Rearden
1) Price will either breakout of the high, low or both of the previous bar
2) Price will not breakout of the previous bar.
3) Price will either close above a level (line) or not.
You cannot reduce it any further. Anything else complicates the issue.
There are many books which you can read to gain some in dept. Knowledge
basically price action is nothing but raw charts and some drawing tools
all you need to learn is the language of the market without any indicators
there are many price action strategy like supply demand, patterns etc etc..
it may take a while to learn and understand and once you get a good understanding
it all on auto pilot mode, you will see the charts and know what are the probabilities of the price to go up or down