Price action trading.

Just wanted to start a thread on what methods people are using to trade via price action. I like the idea of not having any lagging indicators on my charts. I am just curious to see what's out there as far as price action educations or price action courses. I have read some encouraging information about trading strictly off of price and I am just trying to get a better idea of what other people think about it and what resources they have found helpful. I also thought it might be a good idea to post up some charts of price action signals I have found to be successful in the markets. Thanks a lot.

Check this out.

http://www.trade2win.com/boards/fore...-part-2-a.html

You know the bit in the Dracula films, where, for example, Peter Cushing gets out the crucifix and Drac. bricks it? I often wonder if Priceactionistas do the same when they hear the words "Expert Advisors"*...



*retires to a safe distance having lit the firework...

Is trading 'price action' where you make uneducated guesses using a bare chart rather than making uneducated guesses with a chart full of indicators?

The way I view price action in simple terms is
first sentiment. Has the market up on bad news (bullish),
down on good news (bearish). up on good news (bullish) etc..

2nd the price action of the previous few days leads me to believe that will continue
unless some catalyst shakes the market out, then breaks in either direction - hard.

3rd most of the year buying on dips has been the way to go or after the market is semi-oversold buyers jump in and squeeze out the shorts.

Also, look at the groups leading the market the previous days.
When tech, banks and energy are all up its not a good day for shorting.

4th watch the $VIX, $TRIN and A/D line. When the TRIN has been over 2 or
more for several days, switch from shorting start looking for oversold bounces
getting some aggressive shorts leaning to hard for a short squeeze.

When I'm wrong within 2 trades - I go to the sidelines, maybe for the rest of
the day. I mostly trade futures.

guh, every time i hear 'price action' it reminds me of me and the reasons i was attracted to it- an easy way to trade , ignoring market context, fundamentals, etc, just waiting for pins at support. etc...

maybe you're different but with so many people just getting into PA do you really think pin bars will work in 5 years time?

I still don't know what the definition of price action is meant to be.

seems to be a copy of dow theory/classical TA and candlestick patterns which you could find in any TA book

Presumably this is in contrast to the absolute certainty of an approach that you use ? and if so can you say more about it ?


Paul