Forex Strategies – Price Action Trading Strategy.
Forex Strategies – There are many Forex Strategies, but today I explain the price action trading strategy that will change the way you trade.
And the fundamental idea of the strategy relies on the concept of momentum loss shown through candle sizes and shapes, which is a compelling price action technique.
SUPPORT LEVEL FOREX STRATEGIES.
It shows that price is losing momentum, and that is a very crucial point you want cost to be losing momentum and slowing down as it approaches vital levels.
If the price approaches at the support level, then look at how the candles behave.
As you can see, we have a big candle followed by a smaller candle followed by an even smaller candle another smaller candle.
Then a smaller long wick candle rejecting support.
And then finally an even smaller green candle that is also a Doji.
And also an inside bar is a reversal candle, and this results in a bounce upwards.
It is another currency pair example like GBP/USD.
It is a basic level of support as you can see from when the price got here.
Last it hit and reversed upwards to price approaches this level again we have a big candle than a smaller candle.
A smaller candle that is also rejecting support.
And then we have this beautiful green long wick candle rejecting support.
And then followed by another tremendous inside bar candle rejecting support as well and as you can see price bounced to upwards.
It is another currency pair example like GBP/USD and that Resistance Point.
Again we have three rejections of this level before it reversed downwards.
Which makes this a fundamental level of resistance as price approaches this level.
We have a big green candle, a smaller green candle where the wick is also rejecting resistance and then an even smaller candle which is a red bearish candle and as you can see price reverse downwards.