What do you consider long term?
Not sure how you figure that. Price action works to find trends. Look at some of the trades I have posted on here. Those were some pretty sweet trends. For long term trends base entry off the monthly and work your way down to get precise entry and hold for long term. I dont see how you can say price action is short term only. It does require some skill to be able to hold for longer term but it can be done. Trust me I have done it many many many times
days to weeks, price action only works for day trading it cannot identify trends only indicators can do that.
PA does not work in long trades? tell that to my account 
So in plain english what is āpure price actionā (newbie)
No indicator just s/r and candles. (Of course not all of us obey the rules :27:) Price action is using price as your indicator for lack of a better explanation.
Thats got to be the dumbest thing I have heard (at least this week anyway). An indicator lag price so by the time an indicator tells you the market is trending you have pretty much missed most of the trend. However with price action. Price just signals an entry and if the market decides to trend guess what you are at the beginning of the trend thus beating the herd to the punch. Not only that what is higher highs and higher lows considered? Thats right that is an uptrend price just told you that not some over thought out indicator that will tell you the market was trending but you missed it by waiting for the indicator to tell you the market is trending
what is that morning star candlestick pattern, price action is just candle stick reading
Ahā¦gotcha
Price moves the same way, from Min 1 all the way to Monthly TF. The same way. Bounce, break, pullback, bounce again and the cycle repeats itself.
I have yet to trade off a monthly chart, but I do weekly when I see a set up or a formation. I got one entry this year.
So when its the same, I dont see how it does not apply on higher TF or long term.
Indicators. Been there, done that. Thank you.
Indicators are the blind mans walking aide while crossing forex street. Only problem is. this blindness is self imposed.
Its just a visual way to project historical price data. Nothing more.
A simple MA is basically the average value of price for that MA.
MA 20 means an average price of 20 previous candlesticks.
I dont see why I need to see that prices are falling once the candles open and form below a given MA. I can see price falling 15 or more candles earlier than what the MA would show me. Its a classic case of making oneself visually impaired when they have two perfectly healthy working eyes.
Indicators cannot identify anything. It just says what price did for ( n ) candles previously. It might represent average values, min or max, and a host of other statistical data, but it sure does not have the crystal ball to tell you whats coming next.
We are the ones who make major assumptions with indicators.
They look so good and very very reliable, and in cases of MA crossovers, near perfect because they adjust themselves as the price is forming on the current candle.
Its not because Indicators or the writers of the programs are cheating on us. Its called a best fit line. We draw that over a clump of statistical data to get a truer picture of the raw data, after the fact that the data has happened.
I hope with my ramblings above, we can see why statements saying that only indicators can identify trends is as valid as a Stochastic chart being overbought.
Indicators cannot identify what the current candle is going to end up as, let alone long term trends. It merely gives you pretty things to look at once the move is over.
Dont waste your time with Indicators. Learn how price moves. You can pair this up with an Indicator much later on if you so fancy, sort of a second or tertiary check, especially when you feel like upping your risk factor.
But otherwise, safe your self the effort.
My eyes identify a trend before any indicator can.
[B]Price action is the study of any price movement.[/B]
Yeah, I know what are you thinkingā¦ too obvious answer
But then you can add to the definition:
[B]Price action is the study of any price movement around supply and demand levels[/B]
To accomplish this you can use any type of chartā¦ line, bar or candlestick. The one i like is the japanese candlestick chart.
Cheers for clearing that upā¦another quick questionā¦ive been trading with a demo account for the past 2 months (forex.com) and have only placed trades purely on my own judgement and some and bits of info from places like bloomberg etc, should i stick to this strategy as i was making profits or is it too risky?
I donāt know what strategy you are using but apart from it, Iād never trigger a trade based on the info from news channels or any proās, iād follow my own analysis(But itās jus me). If you are consistently making profits with you strategy, then you can stick to it. But also, you should plan your risk management which is foremost important than the actual strategy.
P.S - Iād suggest you to learn about the price before jumping in to the live arena. It will surely help you.
One small JUST for sman1109, an entire field of study for the rest.
I suggest that you study some weekly charts and observe how price action tells the story
Ok Ok I got to do it. If any remembers the housing market collapse in the usa in 2008. Go look at an AUD/USD monthly chart and tell me price action would not have predicted it. I like to use fibs so toss a few fibs on there to confirm it. How ever just price action alone could have got you into this. Tell me thats not an up trend. The next 3+ years with very little correction straight up. Now what indicator where you going to toss on there to confirm the trend. Name one that would have confirmed this on the monthly before the trend was at least half way over (not saying it will not keep going up but my bias is short). Which to date is a 4000+ pips move. Based on my account I could not retire on that but if I was trading then (I still would not have got that hole move just based on my account size not price action) it would have moved me up to a new level of trading where I would be considering Forex for a living. That where top down analysis to get that SL as small as possible comes in. I cant go that far back in my charts on smaller time frames but if I could I can bet I can show you an entry with about a 20-30 pip SL (thats all fine though I can make anything on the left side of my chart look good its the right side that counts)
By the way that short bias is also based off price action on the monthly chart for that pair (with some help from fibs but I do not consider fibs an indicator since it was created before markets were and was never created to predict price).
100% agree.
GBD/USD DAY TIME FRAME
GU 4HR TF
GU 1HR TF and Entry
I believe this snapshot will help new members to understand how this method works.
I will request senior member please guide me how to correct it if I am wrong with my analysis.
The weekly candlesticks are just like the daily and the hourly and even the minute, I donāt see how alone this price action can tell a trend without an important indicator.