I can only refer to my previous answers.
The reason I ask is to the best of my knowledge in a market like the stock market we can see the supply of the goods a company has and demand for those goods, which is used to value the company and in the commodities market it is supply and demand that push prices, although they also have their own market makers but itâs eventually based on support and demand. But in the forex market, I struggle to understand the supply or demand here cause it seems like it doesnât exist or rather the supply is limitless.
Ive Listened to a few no nonsense videos, i am sure he is a knowledgeable man and right about supply and demand regarding Forex. but he also slaughters a lot of TA tools like trend lines,support and resistance ect
So I just read an article about supply and demand in forex and the authors basically calls supply selling and demand buying, but that isnât what supply and demand is according to economics, Iâm not an economics person but I know a little, at least to the extent of the definition of supply and demand and it isnât selling or buying, I know itâs what causes selling or buying but those are the effects of it. And I still have no clue what supply is in forex, is it supply of the currency?
But countries can make as much currencies as they want so there is kind of endless supply.
They could but they donât so there isnât.
@greenscorpio I guess thatâs because most of the TA tools the are popular for beginners have not been tuned to the uniqueness of forex markets and were made for other markets, although I donât agree with him completely in the sense that they are useless I agree that the way they are used widely may be useless
@tommor But since the possibility is there means there is actually no supply thing in the markets, although there could be lack of supply of currencies between countries agreed. But in the forex market there really isnât any factor of supply or demand that moves prices unlike stocks where you as a company canât make unlimited products cause it depends on how much people demand for that product
yes and he probably right as many evolved a while ago now, how can trend lines support resistance be ?
This is the problem Iâm having now, because from his trendlines videos it makes a lot of sense as to how trendlines can be pointless and an abnormality, although it works for me, but horizontal SR levels Iâm still trying to understand and Iâm coming up with the conclusion that they are still valid but not for the reasons of supply and demand but more for the reasons that they are usually highly traded zones
A lot of traders might gather at the pullback on the trend lines but in the end weâre not the ones moving the market, the institutions are and it makes sense as to why theyâd not be interested in a diagonal SR
Take a look at these two articles
And
precisely
did nt like his presentation style or voice anyhow
He sounds very cocky but he is quite funny with some things he says lol. Very blunt dude
yes true but likes the sound of his own voice
He does , I watched a few and although reasonable never really go into detail
Most indicators were made for shares and end of day trading but a little tweaking and they can be made to suit the 24 hr markets
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But the thing with horizontal SR levels is that there is a 50-50 chance of price going one way and itâs quite stressful to pick a side
I wouldnât get too hung up on the âwhyâ. Price does react at certain predictable points whether you chose to call those points support and resistance or supply and demand is not important. Figure out âwhatâ levels price reacts to and donât worry about the âwhyâ.
Some people believe that price moves as a result of the buying and selling activities of market participants. Others, such as myself, believe that price movements are purely algorithmic, generated by a computer. Both sides have only circumstantial evidence and no real proof one way or the other. Take your pick.
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True but you back it up with other parts of the puzzle ,
@Lang15 this is my point and exactly why I donât think all those indicators made for others markets are completely useless for example before even listening to NNFX talks I stopped using stochastic for oversold and overbought signals because I lost more trades with it and I just started using it to check for price divergences and now I find out that I may have been correct to stop using it for overbought and oversold