- Price Action Trading Course (LEARN FOREX PRICE ACTION)
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As I’ve mentioned above, there are 8 types of trends. In simple terms, a trend is when price is either moving up, down or sideways.
Price Action Trading Course (LEARN FOREX PRICE ACTION)
Well, if there is an obvious pattern on the chart and you can see it clearly, then you should know that there are thousands of traders out there are watching the exact same thing as you are doing…because it’s so obvious.
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Note: with a triangular pattern, I often prefer to wait for a candlestick to breakout and close outside of the pattern before I enter a trade. This helps to reduce false breakout signals.
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Now, there’s another thing about trendlines, if one trendline get’s broken, you need to be see if you can draw another trendline above (or below) the one that’s broken. There can be 7 or more downward trendlines or 7 or more upward trendlines at any one time on any chart in any timeframe.
Step 8a: In a downtrend market, you click first on the previous peak where you want to analyse from and drag down to the trough where price reversed from and release.
If you are one of those that are going to learn from this course and apply it to your forex trading, my hats off to you and I say “go and succeed.”
I hope you have learnt how powerful price action trading can be. Now, not all trading setups you see will become winners.
Can you see how the need for using other indicators is diminished once you understand how easy is to spot such trading setups like these?
Sideways channels (or horizontal channels) are little bit different from uptrend and downtrend channels because with uptrend and downtrend channels, you would require 7 points to draw trendlines and wait for price to touch them later on before you take a trade because the trend lines are at an angle.
So when you see the piercing line pattern forming at support levels or in a downtrend market, take note as this is a potential bullish reversal signal so you should be thinking of going long (buying).