Price Action made simple with Supply and Demand levels

ok price reach to my target and i get 39 pips in buy and 44 pips in sell
but thats not mean all trades is good
i hv also bad trades like this on usd/jpy but i trying to make my targets large and my stop small
so in usd/jpy i lost 5 pips only
ok thats will be enough today
and i wait you thomas for correct my homework

Following this thread is very interesting, is there any Supply and Demand Indicator that can help draw these zones?

There are few available here on FF but not sure if they follow exactly the same drawing rules than discussed here.

How do you measure the width of the base? What type of candlestick do we need to observe before we can draw both supply and demand base? Thank you.

Your idea was really good, congratulation!
I didn't take this trade because there are too many candles in the level. But here's how I would have done it:



As you can see I draw my level just below the strong price movement, and I would have sold my position in the green zone, with a RRR of 1:2.

Thomas ,what do you think it is a good idea to draw the levels of demand and supply zone and then go to lower time frame to trade the ZONE . kinldy shed light on this.Thanks in advance.

i took this trade too on eur/usd i was try something
my stop was 17 pips and my profit is 42 pips

thanks thomas
but my idea still bad i will stay here for take all informations from you about this levels

New trade setting up soon that I would like to share.

I would like to make a point on how I have learned to trade DBR, RBD, RBR, and DBD.

Both RBD and DBR are good areas but from what I find more times than not is that these most extreme areas on a curve are not fresh anymore.
Remember the price was going one direction and then price reverse's in the other.
This happens because the sentiment at that time changes all to one direction.
For example price is in an uptrend, then reverse's to the downside. Big buyers and sellers have now joined the same boat to short.
So now this area has been eaten up quite a bit.

For RBR and DBD, the areas are created as price is moving.
Big players here will usually not load the boat again until price comes back to this area.
They know that other big traders that missed this area will want to enter here as well.
The areas are considered fresh demand and supply zones now.
Price has not yet been here yet and creates an opportunity.

Thats the short of it.

Remember to trade what is in front of you. You control what trades you enter. Trade what you know to be true. Any Zone is strong if it is fesh, but what matters is your discipline to filter out stronger fresh zones for weaker fresh zones, and still be patient for price to hit your entry.

Hi Gilamonster

enjoying your inputs, very good!

Mickeyf-

Thank you. It feels really good to be able to share my knowledge. Everyday that I am trading, I enjoy too.

fxbishop-

You have the idea. Yes find your zone on a larger time frame then on the same workspace go to a shorter time frame.

1. I use daily for tend
2. Then 1hr to 4hr for major zones
3. And 5 min to 15 min for setting my entry, stop and target.

But you can do it on one chart too. I have done that as well. Just make sure you have a plan in place for each trade to minimize risk and how you will exit out if it goes in your favor.

I would like to share with everyone, what my mentor has shared with me.

" Look for what is obvious and compelling"

" You are not a novice at anything if you can control your decisions and the emotions built around those decisions"

" The time is now, and you are doing the best you can do"

I know these are affrimations but that is how I have programed myself.

cannot see what pair is it ?

adriann-
Thank you.

gbpusd. Sorry about that. I just noticed that my charts symbol isn't coming up. I will for now state which pairs and time frames I hav posted so that there isn't confusion.

Explor359- You have made some valid questions and I will answer them.

1. Pairs I will only trade will not have more than a 5 pip spread.
2. I will get up if an alert triggers while I am sleeping. (I perfer black or green tea which doesn't take long tp steep for my liking)
3. I will usually stay awake from that point on until a less liqiud time of day or night. ( I will keep tighter alerts if I am actually in a trade if I have to leave my trading desk)
4. My trade rules are 8 pages long. I will not share all of my rules at once.
5. I will say this about my rules though, to build your own rules and not ones out of the books or from someone else, remember to log everything from your own emotions, market sentiment, trend, economical news that has affected price,etc.etc.
6. My day starts- Inthis order, premarket routine
7. major news that has affected price
8. inter-market correlations
9. futures charts
10. my own chart analysis-where is price, trend, look for new zones(I will find supply and demand), fine line placement, set entries and alerts.
11. I am an intraday trader- daily chart, 4hr or 1hr charts, 15 or 5 min charts.
12. If price is trading in a tight range I like 30 min chart, 5 min chart and 1 min. If I had a 25 to 50 tick candle chart I would live off of those.
13. I save every trade I take to a dedicated trade log folder on my desktop
14. I include in my saved image; chart, all my notes, what I found in premarket routine, emotions of the market and my actions on how I control my emotions to prepare for the trade, most important how and why I entered, where my stop was , how I exited out of my postion.

You need to slowly analysis your self esteem when building your own rules and plans. Psyhcology is the most important part of my trading, and that is what will make my successful at anything or I will fail at everything.

Gilamonster

looks like your gu worked out!

How is everyone doing.

Is anyone having issues with this type of trading?

The market will be slowing down soon so if anyone has questions let me know.:nerd: