These are the 12 best forex price action trading strategies for beginner traders to advanced traders.
If you are a forex beginner and trying to understand how to trade price action but you don’t know where to start, my free price action trading course will help you out.
Or you can check out the simple forex trading strategies suitable for forex beginners.
This price action trading strategy is so awesome yet so simple. The secret to the trendline is the fact that price responds and bounce off trendlines and if you know how to draw trendlines, you can anticipate where price is going to bounce off the trendlines and take trades based on that.
The trendline breakout forex trading strategy works really well with the Trendline Trading Strategy. What do I mean?
Well, look at it this way:
- with the trendline trading strategy, you are trading the bounce up or down on the trendlines. This means that price respects the trendline.
- but with the trendline breakout forex trading strategy, the rules come into play when the trendline is interesected or broken by price. This means that the current trend has now changed so you need to be looking to exit your trades that you have based on the trendline trading strategy and now open a trade in the opposite direction based on the trendline breakout forex trading strategy.
This support and resistance forex trading strategy is also simple but a universal trading system that is applicable to all markets from forex to shares.
You see, traders watch support and resistance levels like eagles ready to strike. When price behaves in a manner that tells them the market is going to bounce off that support level and head up or price is going to reverse and head down from that resistance level, then the dive in with orders.
The result is that you see price bouncing off support and resistance levels.
Right, so the support level didn’t hold so you couldn’t use the support and resistance forex trading strategy. So what do you do? Well, apparently, the support level got intersected, a breakout is happening.
So this support level breakout forex trading strategy is about trading the support levels that don’t hold.
What happens when you see a resistance level gets intersected or broken? How do you trade it? How do you know if its a false breakout or not?
Well, this Resistance Level Breakout Forex Trading Strategy is all about that.
This price action trading strategy is also built on the support and resistance. It is a must-know forex price action trading strategy for all traders, really.
This pattern applies a really neat trick by using the 123 pattern as a signal to buy or sell using the trendline trading system.
This is for those cautious traders that do not like to trade the bounce of the trendline trading system just yet but just need the breakout of the 1-2-3 pattern to get into a trade.
Check it out.
The daily pin bar forex trading strategy is an awesome forex trading strategy is you are fan of trading the daily candlesticks, especially pin bars.
We all know how powerful pin bars as reversal candlesticks when they form especially around areas of support and resistance levels.
Because forex traders take notice and if the high or the low of the pin bars get broken, the chances of the market moving in the direction of the breakout is increased significantly and you can make a lots of profitable pips applying this method.
Very simple yet a solid trading system based on the 123 chart pattern. Every forex trader should know this trading system.
This price action forex trading strategy is based only on one bar, the inside bar pattern, which is a one candlestick pattern.
When inside bars form, they indicate a period of low volatility as well as indecision as traders are undecided where the market will go next.
A breakout of the high or the low of the inside bar often results in the market moving enermously in the direction of breakout.
So you can say that when the inside bar forms, its is alike coiled spring ready to strike.
This is another interesting price action trading strategy where you have two candlestick of almost the same lengths and boy opposite, one is bearish while the other one is bullish or vice versa.
When you see this pattern, you should know that the trend may be changing. And if you see this forming in support and resistance levels, they really do form a good trade signal.
This price action forex trading system may confuse newbies a bit but once you get to fully understand how it works, then it becomes are really powerful forex trading system.
Its based on this:
- sometimes you will see market move in a downtrend and break the support levels and it goes down for a while only to return back up to the support levels that was just broken. Guess what the broken support level becomes now? A Resistance level. So that previous broken level now becomes a resistance level from which price hits it and bounces back down. So that’s how you take a sell trade
- to take a buy trade, its the opposite of the above…market moves up, breaks resistance levels and continues up and starts to fall back down to the resistance level it just broke. This previous resistance levels will usually now act as a support level. That’s where you look to take a buy trade.
So there you have, these are the best 12 Forex Price Action Trading Strategies That Can Be used by all all levels of traders because they are easy to understand and implement.
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