Price Action Was Hard Until I Found This Strategy!

When I first delved into the world of trading, I was overwhelmed by the complexity of it all. 

With so many indicators, charts, and theories floating around, it felt nearly impossible to decipher when to enter or exit a trade. I had dabbled in various methodologies, but price action trading always intrigued me. However, my initial attempts were fraught with frustration. I just couldn’t seem to make sense of the raw price movements on the charts.

Then, everything changed when I discovered a simple yet powerful price action strategy that transformed my trading experience. In this post, I’ll share my journey, the strategy that made all the difference, and the key focus areas for successful implementation.

My Struggles with Price Action Trading

Price action trading is the study of historical price movements to make informed trading decisions. Unlike other strategies that heavily rely on technical indicators, price action focuses on analyzing the raw price data itself. While theoretically appealing, I found it challenging in practice. I often struggled with:

1. Identifying Key Levels:

Support and resistance zones seemed to be elusive, and I often misjudged these critical areas.

   

2. Reading Price Patterns: 

Candlestick patterns and formations were confusing, and I could never quite decipher their significance during live trading.

3. Emotional Trading:

The psychological aspect of trading is real. My emotions often clouded my judgment, leading to impulsive decisions rather than disciplined execution.

Discovering the Right Strategy

After many hours of research and practice, I discovered a straightforward price action strategy that focused on reading candlestick patterns along with support and resistance levels. Here’s a simplified version of the approach that worked wonders for me:

1. Support and Resistance Zones

The first step in this strategy is identifying key support and resistance levels on the chart. These levels indicate where price has historically reversed or consolidated. I use:

- Horizontal lines to mark previous highs and lows.

- Round numbers (e.g., 50, 100) as psychological barriers where traders might react.

2. Candlestick Patterns

Next, I focus on candlestick formations, particularly those that show clear buying or selling pressure.etc

Please like and comment if you have any challenges!

#Boynini

#Ninitradingstrategies 📉📈👍