{"id":104728,"date":"2017-04-19T12:13:54","date_gmt":"2017-04-19T16:13:54","guid":{"rendered":"http:\/\/countingpips.com\/?p=104728"},"modified":"2017-04-12T12:14:19","modified_gmt":"2017-04-12T16:14:19","slug":"6-reasons-why-price-action-is-the-king","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/04\/6-reasons-why-price-action-is-the-king\/","title":{"rendered":"6 Reasons Why Price Action is The King"},"content":{"rendered":"
April 19, 2017<\/div>
\r\n<\/div><\/div>

By Admiral Markets<\/b><\/p>\n

<\/p>\n

Dear Traders,<\/p>\n

For a long time, I have lived and breathed the markets. There is nothing more entertaining than watching price movements live on your screen.<\/p>\n

If I had to choose between watching the charts and European football championship finals, I’d gladly pick my charts. Trading Forex and price action is my only vice, and I really love it.<\/p>\n

When traders ask me, what is my favorite indicator in Forex trading, my answer is always clear. It’s the Price Action. Being an ultimate avatar of price, price action “indicator” tells me everything I want to know.<\/p>\n

Being a professional trader with more than 10 years of experience, I’ve summed up the most important things in both PNT method on Forex Factory<\/a> and Price Action Trading School<\/a>. Today, I will explain top 6 reasons why price action is the king.<\/p>

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\n

Historical Vs. Now Moment Concept<\/h2>\n

Contrary to stock market, in Forex market price action repeats itself. Not many people recognise great trading opportunities based on historical vs now moment price action.<\/p>\n

Simply put, if the price rejected at one spot in the past it tends to reject again in now moment.<\/p>\n

Aligning historical and now moment buyers or sellers is of extreme importance and the only way to do it to study the price deeply. Price behaves the way it does as a result of the behavioral patterns and decisions of the traders that are both human and algorithmic (algos) who are participating in the market at any given time.<\/p>\n

Easy to Spot Price Action Patterns<\/h2>\n

Forex price action patterns<\/a> like ABCD, Gartley, T-89 and others have proven to be a great indicator for spotting either reversals or continuation of price movement. When used properly, the patterns give us a hint to trade them when the circumstances are just right.<\/p>\n

Advanced Bullish candlesticks<\/a> and Advanced Bearish candlesticks<\/a> help us understand the nuances of the price behavior, such as “What might happen after this inverted hammer pattern?”.<\/p>\n

Momentum and Volatility<\/h2>\n

With Price Action trading, volatility<\/a> is very easy to spot. Simply said without volatility, there is no way we can make money in the market. Volatility in the market is a good thing and with price action strategies it should be easy to spot it. This is how momentum and volatility are easily spotted with this simple price action strategy<\/p>\n