If you are looking for a forex trading tutorial, then I am sure you are a new or struggling trader who is still trying to find his way in the tough learning curve that is the forex market.
I’m sure searching and sifting through all the information that the internet has about forex trading is enough to give you a migraine. I can sympathize with you, because I had to go through the same exact thing.
There are a million people telling you a million different things. The majority of them are telling you about a trading system that uses a bunch of indicators and all you have to do is follow them and you’ll make millions of dollars.
Well, I can safely tell you from my experience that using indicators like stochastics or moving average as your sole factor for taking a trade will probably not get you very far,
Once I understood price action, I understood how the market worked, and most importantly how I can use price patterns to predict where the future price would be.
Here are some advantages to trading with price action:
Know the real support and resistance lines: I don’t mean those lines that you get from an indicator. I am talking about the real points of support and resistance that no indicator can pick up.
Understand Why The Market is Moving in A certain way: How many traders you know who use indicators and still don’t have a clue as to WHY the market moves the way it does.
Ability to predict swing points: It’s always a great advantage to know at what price a currency is going to stop and turn the opposite direction.
Trade in all Different Kinds of Time Frames: No matter if you are a scalper or long term swing trader you can use price action.
Trade in Any Market: Price Action is completely universal. It doesn’t matter what market you are into, whether they be forex, stocks, futures.