Can someone define and explain "price action"?

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Nikitafx
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Price action

Postby Nikitafx » Sun Feb 13, 2011 1:04 pm

Price Action = price in motion

Trading Price Action = Getting in some of the action

I cannot agree with koolbreeze as quoted below. Too dependent on indicators or just trading with candlestick patterns. All the above and other extremes are going to cost us money.

koolbreeze wrote:In my view you're over thinking this. Price action is the movement of price, that's it. The general idea here is that emphasis is placed on price action over indicators. Seasoned traders make this general comment in part because it is a common occurrence to watch rookies lose money over and over glued to their indicators as they ignore the underlying price action that is clearly telling them to stop out.
Trading is a science as much as it is an art.

Its Not Nuclear Science.

I am an Non-certified Currency Analyst / Trader

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TheRumpledOne
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Postby TheRumpledOne » Mon Feb 14, 2011 12:45 am

PRICE ACTION

"Now, 2 patterns of market behavior happen on a regular basis:

1) the price breaks to new high's (or low's)

2) the price reverses from new high's (or low's)

They happen regardless of time frame (with the obvious limitations explained above)

They are phenomena that can be exploited without the fear if found out by others, that they might cease to exist." - H. Rearden

1) Price will either breakout of the high, low or both of the previous bar

2) Price will not breakout of the previous bar.

You cannot reduce it any further. Anything else complicates the issue.
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Postby patriotstef » Tue Feb 15, 2011 7:04 pm

Thanks guys for all your input... but I've long since given up on forex since we last spoke. I just got this email saying that this thread had a response, but TRO can close it if he wants since I won't be coming back here, or to any forex forum or any other market forum from here on. I'm glad you guys like the whole market trading scenario, but for the rest of us it's just an exercise in futility - we can't do it... it's a never-ending game of tic-tac-toe where nobody wins in the end since the gains and loses finally balance out to zero.... always.

Like I said, I do thank you guys for all your valuable input. No form of information is ever useless, and I recieved a valuable education from you all and I do thank you all much sincerely.

Take care
PS

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Postby pablo101 » Wed Feb 16, 2011 2:13 am

patriotstef wrote:I'm glad you guys like the whole market trading scenario, but for the rest of us it's just an exercise in futility - we can't do it... it's a never-ending game of tic-tac-toe where nobody wins in the end since the gains and loses finally balance out to zero.... always.


:shock:

I say this, if you keep at it, sleep, drink, breath in what the markets tells you, you'll realize your dreams will come true in the end :wink:

... even if you'll lose some sanity in the process ... :D

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Postby trader.dan » Wed Dec 07, 2011 12:21 pm

Price action is essentially the study of price, and how it reacts to support and resistance levels. Chart patterns and trendlines are an important part of price action analysis. It is basically analyzing the natural ebb and flow of price to trade the market. But since it does not have any mechanical ways of entering and exiting the market and requires trader's discretion, the trader needs to keep a clear head at all times.

Happy trading O:)

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Postby TheRumpledOne » Wed Dec 07, 2011 11:16 pm

PRICE ACTION

?Now, 2 patterns of market behavior happen on a regular basis:

1) the price breaks to new high's (or low's)

2) the price reverses from new high's (or low's)

They happen regardless of time frame (with the obvious limitations explained above)

They are phenomena that can be exploited without the fear if found out by others, that they might cease to exist.? - H. Rearden

1) Price will either breakout of the high, low or both of the previous bar

2) Price will not breakout of the previous bar.

You cannot reduce it any further. Anything else complicates the issue.
IT'S NOT WHAT YOU TRADE, IT'S HOW YOU TRADE IT!



Please do NOT PM me with trading or coding questions, post them in a thread.

speed26
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Postby speed26 » Mon Jan 23, 2012 8:19 pm

Price Action is nothing more than the ebb and flow, the movement that price makes on a continual basis.

The irony is when someone says "I trade price action", all they are saying is "I trade price movements".

And to profit, all required is movement in a given direction.

Price action = Movement of price.

If using bars/candles/renko etc.. then what TRO says is applicable:

1) Price will either breakout of the high, low or both of the previous bar

2) Price will not breakout of the previous bar.

What im trying to understand in a comprehensive manner isnt what is price action.

What im looking to understand is what ARE the "properties" of price action/movement.

You know...speed/acceleration (momentum) etc etc...

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