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If there is one aspect or
trading method that is completely overlooked in
the forex market it would have to be price
action. This forex trading
strategy should be a part of any trader's
M.O.
To put it simply, its like
seeing the market's
energy. By looking
at a simple bar chart, you can
literally see how what kind of market
sentiment that traders have.
You can figure out the
current trend. This is something that you
hear about all the time. You always
hear traders say "know which way the trend
is". Most don't have a
clue.
It's obvious looking at how
many people fail to make money in the forex
market, how many traders are constantly trading
against the
trend.
I'm not saying you won't have
a winning trade if you ever go against the
trend but it's a lot easier when you are going
with
it.
Going against the trend is
like trying to catch a falling knife. Sure, you
can catch it without cutting yourself, but its
risky.
So, how can you
tell where the trend is
headed?
Well, I'll give you a
clue. You're not going to find it with a
moving average indicator.
All
you'll ever need is simple price
action. in my course Trading In The Buff, I
go over how you can use longer time
frames to dictate the current trend of
shorter time frames, that way you know
you are trading in the right
direction.
But
for those that want a simple way to tell
which way the market is trending, just
pull up some charts and read from left to
right.
I'm
serious. Pull up a chart and
start from the left hand side and see
which way the price has been
headed. If its way below
from where you started, then we are
obviously on a downtrend and you should
be looking for good selling
opportunities.
It
it's a lot higher than when you started,
then we are on an uptrend, and you should
be looking for buying
opportunities.
That's it. Simple as
that.
People
feel the need to complicate trading, but
it really doesn't have to so
complex.
Think less is more, and I
guarantee that you'll be a happier
trader.
When
I say less, I mean less
indicators, less bells
and whistles, less
gimmicks, less
everything.
When
you learn about price action, you get to
see the market in its purest form.
After that, nothing else could match
it.
Check out Trading In The
Buff to Learn How To Trade
Forex Successfully Just Using Price
Action.
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