Price action is a very powerful and simple forex trading strategy that uses the pricing charts for a particular currency to establish trading points for future trades. This price action method of forex trading allows you to establish clear patterns that you can then identify in the future for a given currency and place your trades accordingly. Once nice thing about using price action as a trading strategy is that most of the trades that price action traders make are at the end of the day. This takes most of the stress of forex trading off the investor since they don’t have to be watching the market constantly to jump in on a trade.
Once an investor establishes a few price action setups for their favorite currency, they can simply check the pricing charts each day to see if there are any favorable patterns. If there are, they can take a position on these currencies and follow the price to profit. If none of the patterns are found in the current days pricing, the investor simply looks again the next day to find the pattern. By using these price action setups, the investor has a simple system for making the most profitable trades. There is no need for the more complicated systems that rely on other trading indicators to trigger a trade.
The basic operation of price action trading relies on a particular price bar for a currency. This price bar indicates where the price of the currency opened and closed for the day. This helps establish a simple pattern that the trader can follow for future trades. This analysis can be based on a single price bar, or a dual price bar for even better indication of a currency’s price trend. In the single price bar analysis, the price action can be predicted based on the closing price of the currency relative to its historical close. Based on this information the trader can establish several price action setups as the basis for future trades. By having these price actions setups outlined in advance, the trader can simply scan the current day’s charts for these patterns and then make their trades accordingly.
The beauty of using a price action system for forex trading is that it doesn’t require additional technical indicators to predict a good time to trade a currency. Most of the other systems rely on several technical indicators and can become quite complex to understand over time. Using price action as a metric to trade against, the forex trader knows exactly when to enter and exit a particular position for a currency.
Even though price action is a simple method for forex trading, there are a number of published and private setups available for a particular currency. In these cases, the work of establishing the correct setup for a price action trade has already been done for you. All you’ll need to do when using these setups is match the patterns provided against the current day’s pricing charts to identify a potentially profitable trade. As always, before trusting any of these price action setups you should test trade against them for a period of time to make sure you understand them completely and they prove profitable for you.
Average user rating: 10/10
Reviewer: Christopher Leyton
Website: Forex Megadroid
The Forex Megadroid is a robot trading program that was developed using the 38 combined years of experience of its two founders. They were both involved with forex trading for most of their career and employ the techniques that Forex Megadroid is based on in their own trading strategies.
Read The Full Review
Average user rating: 9,5/10
Reviewer: Christopher Leyton
Website: Fap Turbo
Automated forex trading programs are abundant on the web and every one of them uses a slightly different method to trigger the trades it makes. The FAP Turbo program is a slightly more sophisticated program for forex trading and is actually based on an older program known as forex autopilot, hence the name FAP turbo.
Read The Full Review
Average user rating: 9,5/10
Reviewer: Christopher Leyton
Website: Forex Bling
Forex Bling (by Yohanes R. Gagahlin) is a forex trading system that can be used by any investor to increase their trading averages and help them build a profitable forex account. The system is based on years of trading experience and includes several different types of forex trading strategies.
Read The Full Review
Average user rating: 9,5/10
Reviewer: Christopher Leyton
Website: LMT Forex Formula
The LMT Forex Formula is a unique system for forex trading that allows you to place trades that have a high probability of generating huge profits. The system concentrates on specific forex trades that have the potential of strong trending and allows you to take a position on these currencies and capture the profit.
Read The Full Review
Average user rating: 9,5/10
Reviewer: Christopher Leyton
Website: Forex Rebellion
The Forex Rebellion trading system is a very effective way to help the average trader improve their trading accuracy and increase their profits substantially. Unlike many of the automated robot trading systems, the Forex Rebellion trading solution is a trade advisor that allows you to make your own trades based on the details the system provides.
Read The Full Review
Back To Home Page: Forex Strategy Advice
