Trading breakouts is a popular trading method that captivates the attention of many new traders. It’s not surprising given that it throws up quick profits – when you get it right. Trading a breakout is not as easy as it seems. Breakout trades look notoriously easy when you look at a chart after a breakout. […]
3 Examples of Bar-by-Bar Price Action Analysis
Bar-by-bar analysis is the hardest part of price action trading. Traders have even devised methods to make it easier – ranging from bar patterns to checklists. Whatever method you use, these examples will make you re-think how you look at price action. Why? Because they show that price action is a discretionary skill, and there is no […]
The 3 Practical Uses of Price Congestion That Traders Miss
When you see sideways price action in a meandering market, what goes on in your mind? Is it danger, opportunity, or a blank? Let’s see if we can avoid the blank and put every congestion pattern to good use with these three practical uses of price congestion. Instead of giving useless labels to sideways price […]
Anchor Zones Trading Strategy
L. A. Little wrote two excellent books on trend trading. In his books, he explained a key timing concept called anchor zones, which is a very useful tool for price action traders. In our review, we will find anchor zones and design a trading strategy around them. However, bear in mind that anchor zones are […]
The Secret To Using ADX Indicator
You can sum up the secret to using ADX indicator in a single word: SLOPE. Most traders learn that ADX is a robust system that tells you if the market is trending. The typical interpretation is that if ADX is above 25, the market is trending. If ADX is below 25, the market is meandering […]
Gimmee Bar Trading Strategy
The Gimmee bar is a classic entry pattern for a sideways market shared by Joe Ross – an experienced trader and educator. He is the author of several well-known trading books including Trading by the Book and Trading by the Minute. This trading strategy looks for a reversal down from the top of a trading […]
