Price Action Trading Book
Have you ever taken a chart and:
Removed all of the Moving Average (MA), Bollinger Band (BB), PSAR indicators?
Removed all the underlying indicators like RSI, Stochastics, MACD, ADX?
Do you think you would be able to trade? some traders may ask how to trade in stock market then?
It might look impossible, but don’t forget most of the indicators derive their existence from one thing – ‘PRICE.’
A fluctuation in the price will also bring variations in those indicators. Isn’t it?
Then which is better to study? The PRICE, or Indicators?
'Price Action Trading' is a trading technique in which a trader reads the market and makes subjective trading decisions based on the price movements, rather than relying on technical indicators or other factors.
In simple words, traders use only 'Price' and 'Volume' to make any trading decisions.