Price Action Tips for Forex Trading Beginners to Trade Like a Pro

Too much analysis is just as bad as too little of it. Forex trading in Thailand is demanding when it comes to research and analysis. Capturing the right trend is important to have a consistent streak in currency exchange. This incredibly volatile market is just as unforgiving as is lucrative; capitalizing wrongly can lead to heavy losses. To thrive in the long-run and become a full-time currency trader, price action trading has to be mastered. Your charts shouldn't be clustered, and neither should it be empty. Balance is the key!
 

Here are 3 simple but incredibly effective price action tips for Forex:

 

Price Action Tips for Forex Trading Beginners

 

1) Analyze Trends: Trends are one of the governing factors in Forex markets. It is best to follow a trend and capitalize on it, rather than adopting a haphazard approach. Trends can be spotted at every cusp in currency exchange. Highest highs, highest lows, lowest highs and lowest lows - with these elements in grasp, you can expect a steady growth in your trades. Follow trends as they are birthed and as they rise, and once a trend breaks, prepare to catch the next wave.
 

2) Understand Trend Momentum: Indicators like RSI, MACD and Stochastic use trend momentum as a governing piece of information to show results. Trend momentum is nothing but its strength. Candlesticks are the perfect charting tool when it comes to fishing trends and employing Forex trading strategies. With their impeccable representation, catching a solid trend will take no time. Candlesticks can be read easily using these three points:
 

• Small wicks on a long candle indicate high momentum.

• Larger ratio of bullish to bearish candles signals bullish momentum.

• Long wicks on a small candle indicate slow or lack of momentum.

 

3) Study Rejections: Rejections almost always happen with a strong momentum. Employing these at support & resistance price barriers can work tremendously in your favor. Studying patterns like triangles, double tops and bottoms can help better the approach and refine your trading experience.
 

Indicators paired with the right Forex trading strategy make for the best trades! At WesternFX our experts are trained to provide nothing short of the best. From selecting currencies, providing Forex trading tips and an apt platform - we take care of all your trading needs! Come ace Forex trading in Thailand with our professionals by your side! Call us now, try a demo and let's get started!