November 09, 2017

Recognize the Signals of Price Action Forex Trading (1)

General sense signals in forex trading online is the cue for the opening position "buy or sell" complete with setting the level of stop loss and profit target levels. Forex trading signals can be directly retrieved from trading software or robots, or in the form of a notification via sms, email or other communication media from a specific company or a broker sell trading signals. The signal can be made by an analyst manually or transmitted automatically via trading software, even if you're trading with your robot does not need to know the forex trading signals, your robot do forex trading.

However way you acquire signals, forex trading signals or with clear signals will reduce the influence of emotions and increased confidence when making trading decisions.
In this article exemplified how can you obtain a trading signal manually by recognising the formation setup price action trading on the chart. Forex trading signals in general there is a quite valid and less valid. Trading signals are considered to be valid is that have high probability. For that we must be able to distinguish the two and only entry when the trading signal is quite valid. In the following examples used chart the daily and 4-hour, 2 time frame frequently used by forex swing trader.

Some tips to recognize the forex trading signals from the formation setup price action:
1. Locate the pin bar with its ' tail ' protruding out and shows the condition false break.
If we find a pin bar reversal (reversal bar) that is coupled with a refusal (rejection) on the level of support or resistance either static (horizontal line) or dynamic (moving average line) to the ' tail ' pin the bar seemed to stand out get out of line, then usually this formation is with high probability trading signals, or signals are quite valid. The ' Tail ' protruding out pin bar shows the level of denial has more weight than the signal from the price action of the other.

The refusal on the level of support or resistance shows that the price movement of the market is not able to penetrate the level so that the possibilities for turning direction (reverse) is very large. The following example reversal bar with rejection on the support level that indicates the condition false break. This is the forex trading signals are quite valid.
forex trading signal


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