The price action is a method of billable negotiation in the analysis of the basic movements of the price, to generate signals of entry and exit in trades and that stands out for its reliability and for not requiring the use of indicators
How to Use Price Action
Price action is not generally seen as a trading tool like an indicator, but rather the data source off which all the tools are built. Swing traders and trend traders tend to work most closely with price action, eschewing any fundamental analysis in favor of focusing solely on support and resistance levels to predict breakouts and consolidation. Even these traders must pay some attention to additional factors beyond the current price, as the volume of trading and the periods being used to establish levels all have an impact on the likelihood of their interpretations being accurate.
Price action can be seen and interpreted using charts that plot prices over time. Traders use different chart compositions to improve their ability to spot and interpret trends, breakouts, “clean” chart forex“Messy” chart fundamental“clean” chart“Messy” chart analysis and reversals. Many traders use candlestick charts since they help better visualize price movements by displaying the open, high, low, and close values in the context of up or down sessions.
Do you think price action is the best way to trade the financial market?
Short answer YES, also does not just focus only on the price action as shown by the candlesticks. Also, learn how to recognize the patterns that price action forms.
P.S Avoid too many indicators on your charts!!! They blind you to what price is doing.
These patterns repeat themselves over and over again giving you some edge in knowing where the price is likely to go next. You should also recognize zones of exhaustion that are otherwise known as support and resistance areas.
These are areas on the charts where the big market participants decide that the asset being traded is undervalued or overvalued respectively.
There is a lot more to price action. You can read on them
Understanding the bits I have explored above with making your trading a tremendous amount of fun with time.