My Best Price Action Signals That WORK!!!

today I have a master class in price action trading for you and I will show you the most important signals that I love to trade on a daily basis and we're starting here with trading breakouts and how do you trade successful breakouts with a breakout buildup so what we have here is the market in an uptrend and in an uptrend we typically want to observe how the market is reacting to important support and resistance levels when we look at this level and this overall chart we can see the market Reach This High here once then the market sold off we have a fake out where the market is rejecting this area we're coming back into the level but this time when the market is hitting the resistance the selloff is much less strong it's much weaker we're not reaching the the lows here we're not even coming close to the lows and then the market is really sticking to the level the next time if there's breakout occurring this is a very very strong bullish signal because it shows us that each time the market is hitting the level there's less and less selling interest so on the breakout this is a great Buy signal that we can get here the market really stuck to the level the market was not selling off there's no more sellers left and this shows us that's a high probability breakout scenario next let's talk about stop runs and specifically liquidity hunting around key levels so what we see is the market was in an uptrend then we enter a sideways distribution a distribution is different from a correction typically an uptrend you have periods where the market is going against the trend direction we call those corrective waves how ever if a corrective wave is taking on and keep go and keeps going for an extended period of time we're not talking about a correction anymore we talk about a distribution this is where the the sellers are taking over and the buyers are leaving so the people who bought up here are taking more and more profits which means that fewer and fewer buyers are left in the market we have a breakout level and now let's put us into the shoes of the sellers where are going to have the sellers their stop the stop loss is typically above the Breakout out level so somewhere in this area you're going to see a huge cluster of stop-loss orders and then what often happens is the market is pulling back into the level which is called a stop run because the market is really hunting for the stops and then we want to wait for a strong reaction we don't just enter when the market is hitting the stop Zone but typically you wait one two three candles until you see a very strong bearish candle that's your signal to sell it shows you that the stop run is activated and then the sellers are coming back into the market so here you can see we have a short pause after the market is hitting the stop Zone and then you have strong selling coming into the market in that case you can find a short entry in the stop Zone we're not taking the absolute high but we're getting very close the key is here really waiting for the selling pressure coming back into the market and then you can see the short buyas that we had after the distribution after the breakout unfolded but you really want to be mindful of stop runs because they happen quite quite a bit and if you've been struggling with breakouts this could be the Cure next let's talk about order blocks and how we can trade order blocks with a pullback approach so what we have here is that the market had a very very strong uptrending phase so really the market shut up higher here in pretty much a straight line there was some Catalyst that acted here and that drove the price higher this is the origin of this up move some Traders will call this in demand area other Traders will call is an order Block it's not exactly the same but it's really close and the key is what is behind this concept this is the origin and we want to look for those origin of those big moves then the market is coming back into the level we don't trade those reactions blindly we want to see that the market is reacting so we are waiting for a bullish move in this case the bullish move is coming in form of an inverse Head and Shoulder with the left shoulder The Head and the right shoulder we're breaking the structure so the price is breaking about short-term resistance that's our clue for a breakout you can even see that we have a very quick stop run here after the breakout the market pulls back and immediately shooting higher so the sellers are not strong at all in this case and the buyers are really taking over here and then you can approach this with a breakout long entry for a Target you could look here for this fair value Gap that was created on the way down stops can be placed anywhere below this area for a safe stop loss or more aggressive closer to the breakout area and then you can see the Market is pulled into those areas there's a huge gravitational force behind those uh fair value gaps but also behind those order blocks that's why they work so so well next let's take a look at how we trade fair value gaps with a break and retest approach so what we see is the market is overall in an uptrend and an uptrend unfolds in this way that we have impulsive waves we have a correction phase the correction phase has to be shorter than the impulsive phase that's how the market moves higher so we have strong buying we have selling but not as strong then we have another push very strong buying the buying is getting us above the previous highs here so it's continuing the uptrend and then we have the next correction phase where's the correction phase finding support in this fair value Gap this is a fair value Gap because it's a very strong green candle and the candle before and the candle after that they don't overlap so essentially we have this Gap created although there's no physical Gap the market is moving into this area and what we want want to see is a reaction again we don't trade those levels blindly we want to see a reaction so we need to get some confirmation around those areas the confirmation comes in this form of a strong strong breakout you could also wait for a stop run however if the market is really strong and we already have seen here the bearish phase very often the market is not looking back and you can see the market is shooting higher and the uptrending structure is continued strong bullish weak bearish strong bullish weak bearish strong bullish and this is typically how Trends unfold so it really pays off to study those core impulsive waves and then study as well where those corrective waves find support and then anticipate how the next impulsive wave will play out let's talk about triple tap which is an exhaustion pattern and we want to look at exhaustion reversals and how we can trade them so a triple tap occurs in an uptrend we have three consecutive higher Highs but each high is less strong than the one before so as previously the market moved up higher very easily from here to here as well then from 01 to two and from 2 to 3 we see that the market is really struggling to push higher it's very different from how the bullish Trend unfolded in the previous example right in the previous example the market easily pushed above previous highs and continued to Trend effortlessly however here we're seeing a lot of weakness this is not enough to sell yet but this the first important indication that something is changing in the market dynamics then this is what we're waiting for we see that the market is failing to reach three so here we are not even making a higher high we're starting to make lower highs and then we see a strong bearish candle this is the strongest bearish sequence that we have observed in all of this uptrend so it's a significant Market change we also for the first time breaking previous lows so we're making lower lows here then the market sells off we have another corrective phase we have a pullback the pullback pulls into this value Gap here we find more resistance and again it's really important that you wait for the market to show you signs of trend continuation we see the market is showing a lot of selling here we have also a lot of candlesticks wigs to the upside which means that the market pushed higher but gets rejected every time so there are some buyers in the market but each time the market is moving higher the sellers take over and drive the price down and then you have another push to the downside so the the triple tab is a great exhaustion pattern that can often foreshadow long-term Trend reversals and then as a Trader we looking for continuations in the New Direction now let's take a look at liquidity hunting and we're going to take a look at price divergences so here we have a price Divergence we're in an uptrend and when we look at those highs from here to here and from here to here what can we see whereas previously from here to here the market covered a large distance so the price shot up higher from here to here the distance and the highs are much weaker the market is not able to push higher as strong as it did before it's very similar to the triple Tab and what we see is that the market is losing strength those are very important first indications that the price and the trend Dynamic is changing we don't want to short when the market is close to a highest high point we really want to see that the market is taking and changing directions when we zoom out we can see that we are hitting external liquidity when we zoom out a few days before the market made this huge high and all of the people who bought up the market here will have very likely their targets around this area so there's going to be a lot of targets around this area and what does it mean the people who bought up are looking to exit the trades and When Buyers exit the trades what they do they sell and this increases the selling pressure so now we want to carefully observe how the market is reacting we already see that the price is slowing down then we have the break of structure we see the market is making a lower low here we see the weakness in the highs the market did break a low here in the passed as well just recently but continued higher what's the difference the difference is the external liquidity the market was pulled into this area a lot of Traders were looking to take shorts here and exit their trades and very often the market and the prices pulled into those areas whether it's a fair value Gap a big supply and demand area an order block those are really important levels that the market is often pulled into and then we have a very similar outcome the market moves lower we pull back hit the fair value Gap here sell off and then the market is turning directions so it really pays off to Mark those big levels on your charts and then carefully observe the price action around those areas not always will you see such a strong reversal however if you stack the Confluence in your favor and if you wait for multiple signals around those areas you can often find great signals and let's take a look at Trend exhaustion and let's see how we trade reversals in a different way what we see here the market in an uptrend the market pushed higher sold off and it's now pushing higher again however if the price is failing to reach a high what does it tell us it tells us that it's not as strong as it used to be also look at the the correction phase the correction was quite strong here so we see a lot of weakness here and a lot of selling interest in a corrective wave so putting this together if the market fails to reach the highs and we have strong selling that makes more selling in the future even more likely and you can see that a few cans later we see strong selling once again highlighting the high probability of the market rolling over the market failed to reach the high no continuation we already saw a foreshadowing of the selling interest here and then the market collapses so those are all really important signals and you can apply them in your trading you can combine them in many different ways and the different concepts they really work very nicely together look at the big picture Mark your levels look at impulsive and corrective waves look at Trend strength how easily is the market pushing into new high or a new low do you see weakness in the market and then you can improve your price action trading if you like this way of trading and if you want to learn more about price action strategy support and resistance supply and demand liquidity and many other trading strategies then check out my new trading program which I call the trade Academy it's the ultimate trading program I have a brand new trading course with over 80 videos I constantly add new videos you also get personally mentored by me and you are joining a private Community with a live chat room where you can always interact with me every single day I also hold live webinars every week where you can look over my shoulder ask questions and interact with me I have brand new trading strategies in the trade Academy which have never been shared anywhere else before hundreds of trade studies hundreds of charts studies hours of back testing it's ideal for swing trading day trading and I basically show you how to trade all the different time frames it works for Forex Commodities cryptos indices and we even have stock traders in there if you're interested check the link in the video description where you find all the information about the special program and we currently also have a special offer for you so if you are fast and you want to join then make sure to check the link use the discount code and then I will see you in my new program

Channel: Tradeciety.com

Views: 51,918

Keywords: Forex, Trading, Daytrading, Forex Trading, FX Trading, Swing Trading, Forex Market, Technical Analysis, Investing, Stock Market, Indicator Trading, Forex Indicator, Price Action Trading, FX Trader, Trading Tips, How To Trade, How To Trade Forex, Forex Trading For Beginners, Trading Strategies, Price Action Trading Strategies

Id: dtJ6wz3iUvI

Length: 12min 57sec (777 seconds)

Published: Wed Feb 28 2024