Guide to price action | Forex Factory

Options

Permalinks
Print Thread

Similar Threads

Price Will Tell - Supply/Demand Price Action Trading 1,858 replies

Price Pattern Notifications/Trend Alert Price Action Scanner 7 replies

Price Activity indicator (not Price Action) 7 replies

House price data price action 1 reply

Attachments: Guide to price action
Exit Attachments

Guide to price action

  • #1
  • First Post: Jan 14, 2011 12:46pm Jan 14, 2011 12:46pm
So I'm looking to increase my knowledge of pure PA trading. Does anyone know where I should start reading? It seems babypips has added alot more in their School section since I've last visited so I'm going to start there.

I've always liked indicators because it (somewhat) takes the guess work out of reading a chart. I've never felt comfortable drawing on a chart because I feel like I'm doing it wrong. Anybody know of any good "Price action for dummies" books?
  • #2
  • Jan 14, 2011 2:06pm Jan 14, 2011 2:06pm
There might be some overlap in these few links, but there are days of non-stop education here:

http://www.forexfactory.com/showthread.php?t=217281

http://www.forexfactory.com/showpost...8&postcount=42

http://www.forexfactory.com/showthread.php?t=255586

In terms of books, Sam Seiden's articles and videos are invaluable (not sure if he has a book), as are those from Joe Ross and Michael Parsons, and things from DBPhoenix. Here's a PDF of his that I'm sure has been posted around here. Enjoy.
Attached File(s)
File Type: pdf Price_Action DBPhoenix content.pdf   224 KB | 4,843 downloads
  • #3
  • Jan 14, 2011 2:08pm Jan 14, 2011 2:08pm
Quoting ItsMeTyler
So I'm looking to increase my knowledge of pure PA trading. Does anyone know where I should start reading? It seems babypips has added alot more in their School section since I've last visited so I'm going to start there.

I've always liked indicators because it (somewhat) takes the guess work out of reading a chart. I've never felt comfortable drawing on a chart because I feel like I'm doing it wrong. Anybody know of any good "Price action for dummies" books?

Before this question is answered, you need to ask youself, how do you want to incorperate PA, Do you want to incorporate it with, scalping, intraday trend, swing trading, position trading?

Until you can figure out what it is you desire you can not find out how to trade pa based on the above.

Once you know what your goal is you can use Price Action to your benefit.
Know when to hold em, Know when to fold em!
  • #4
  • Jan 14, 2011 2:57pm Jan 14, 2011 2:57pm
I'm thinking I'm looking more into swing trading. I work some pretty weird hours and that makes it next to impossible for me to get more than an hour at a time in on the computer. So I'm looking to start trading a method that allows me to spend minimal time in front a screen. I've never had much luck with scalping or EAs but I am open to the idea.
  • #5
  • Jan 15, 2011 5:48am Jan 15, 2011 5:48am
Quoting ItsMeTyler
So I'm looking to increase my knowledge of pure PA trading. Does anyone know where I should start reading? It seems babypips has added alot more in their School section since I've last visited so I'm going to start there.

I've always liked indicators because it (somewhat) takes the guess work out of reading a chart. I've never felt comfortable drawing on a chart because I feel like I'm doing it wrong. Anybody know of any good "Price action for dummies" books?
check this out:

http://www.forexfactory.com/showthread.php?t=230888

nice content from red.
thats how to play PA
Hero calls followed by margin calls...
  • #6
  • Jan 15, 2011 5:02pm Jan 15, 2011 5:02pm
I think PA is valuable only when considering liquidity relative to the PA. Those links consider a 5 min chart for 12 hours. That seems like a method that's being traded in a wide range of markets.
  • #7
  • Mar 15, 2011 2:07pm Mar 15, 2011 2:07pm
Hi!

I did not understand your question….

You would like to learn PA? (Price Action)
Or you want to learn PA? (Past Action)

Many people get those two concepts wrong, Price Action is analyzing the PRICE ACTION… yeah I now it’s very obvious and still 80-90% won’t get it! price its nothing more than those 2 numbers you see at the right of your chart: bid and ask, you watch how those behave in real time, that is PA (price action). There is very little (available to the public) information on this.

Past Action is when you do all that voodoo thing of drawing cool lines and stuff on the left hand side of your charts, or watching for candle patterns and then you just expect or “wish” that the right side PA will do exactly what you draw in the left side PA…

I’m not trying to confuse you, just trying to be deadly sarcastic! no offenses.
If you just have 1h per day to invest on the markets maybe the best idea is to start with TA and all that stuff of drawings and pattern recognition… although you should not expect more than 30-40% success rate, so you better have a very good money management strategy.

I encourage you to spend more time on researching of market dynamics, this kind of things will help you a lot (academic researches and stuff like that).

Best regards!
Quantrader
  • #8
  • Apr 1, 2011 4:09am Apr 1, 2011 4:09am
its good thread but there are not lot of replies and posts may be these people dont know how to trade with simple price action and they keep relying on indicators.which is very bad. simple trading is less stress and 90% successful.

hope it helps and people start discussing and posting in this thread
  • #9
  • Apr 1, 2011 5:39am Apr 1, 2011 5:39am
Quoting aman4forex
its good thread but there are not lot of replies and posts may be these people dont know how to trade with simple price action and they keep relying on indicators.which is very bad. simple trading is less stress and 90% successful.

hope it helps and people start discussing and posting in this thread
90% success? haha. Exactly . I must not forget that this is the rookie section.
  • #10
  • Apr 1, 2011 2:42pm Apr 1, 2011 2:42pm
If you understand what happened in Price Action then the only you need is a clean Chart with out any indicator... The "Magic" indicators are useless and they give you fake signals...
  • #11
  • Apr 1, 2011 5:39pm Apr 1, 2011 5:39pm
Price action is how i trade mainly, but it goes beyond being able to, for example- "find a pin bar" Its about "reading the chart" and there is a difference.

Any fool can spot a pin bar. I have spent the last year and a half trading price action and i am really seeing the results now, but it takes a long time to develop the instinct and the abillity to read charts. expect to take a year to lay the foundations. And there will be times when it looks impossible, but if you overcome the doubts and the fears you can at least find a level of profitability. again practice practice practice untill you get it. never give up.

Here is obvious price action on the gold 4hr you can clearly see the buyers are absorbing all the supply along the 1412 level, this is reading the chart but this one is pretty obvious really. If this was not near the all time highs I would be long. But I alread have gold from way back.
Attached Image (click to enlarge)
Click to Enlarge Name: 2011-04-01_2337pa.png Size: 33 KB
  • #12
  • Apr 3, 2011 1:23pm Apr 3, 2011 1:23pm
Support / Resistance, Candlesticks, Trend Lines and Price Action ... With right Money management and when you have the appropriate tool (Risk / Reward) then you used all together in your strategy system ....
That is the trade in my opinion ... So Simple!!! With out any fear and NO MAGIC INDICATORS !!!!!!!!!
  • #13
  • Jul 28, 2014 3:49am Jul 28, 2014 3:49am
DBpheonix has some new books out ... here is one if ya interrested.. its truly a gem...

enjoy
Attached File(s)
File Type: pdf SLA-AMTe.pdf   5.1 MB | 4,059 downloads
  • #14
  • Jul 28, 2014 11:16am Jul 28, 2014 11:16am
Quoting PrymeTyme
DBpheonix has some new books out ... here is one if ya interrested.. its truly a gem... enjoy {image}
Thanks for sharing
  • #15
  • Jul 28, 2014 12:11pm Jul 28, 2014 12:11pm
Quoting robertrfx
{quote} Thanks for sharing
sharing is caring bro..


hope u get something out of it...
  • #16
  • Jul 29, 2014 8:20pm Jul 29, 2014 8:20pm
Nice pdfs thanks for sharing!
  • #17
  • Aug 3, 2014 3:04pm Aug 3, 2014 3:04pm
Just trade on instinct, listen to your gut, have you seen this situation before, what happened then, it'll probably happen again ... if it doesn't get out quick and shrug it off, next!!
  • #18
  • Aug 4, 2014 3:09pm Aug 4, 2014 3:09pm
been pretty much profitable since I read these...........700$ value

http://yourtradingcoach.com/courses/


hit me up on my facebook group COGS's FOREX CORNER or
add me to skype- COGSx86 I can help you out
Learn, a forex trader must, unlearn and relearn he will.
  • #19
  • Last Post: Aug 5, 2014 10:33pm Aug 5, 2014 10:33pm
Quoting sandy-pip
Just trade on instinct, listen to your gut, have you seen this situation before, what happened then, it'll probably happen again ... if it doesn't get out quick and shrug it off, next!!
Actually there is more truth to this than this hyped up slightly hot air industry cares to admit. Yes PAT and confluence is important, yes knowing some background data (if you know how to interpret the news) but sometimes you get a hunch (with these other factors) that you just know (because of experience and seeing how the market just repeats itself) that you just get in but you can't always explain it. You can almost 'feel' the selling drying up, or feel the demand/buying start to begin...hard to put your finger on it. You need to backtest and watch watch watch everyday the charts to start to develope 'Jedi Trading' (okay if you copy my new term please refer to me as I am a very cool trader!!)
0 traders viewing now