Forex Price Action Trading Strategies

Step 1: Identify the Trend. You identify an Uptrend with Higher Highs and Higher Lows. You identify a Downtrend with Lower Lows and Lower Highs.

Step 2: Identify Clear Directional Movement within the Figure Levels.

Step 3: Identify Where Price Breaks a Support and Resistance Zone. A Support and Resistance Zone is an area where Swing Highs and Swing Lows come together. It’s also where Support becomes Resistance, and Resistance becomes Support.

Step 4: How to Enter. Buy or Sell Entry (Look for Reversals at the London Open, at the Support and Resistance Zones).

Step 5: Optimize Your Entry. Set an Ideal Take Profit and Stop Loss, while satisfying our Minimum Reward to Risk Ratio of 2 to 1.