Supply and Demand is one of the core strategies used in trading. It focusses on the ancient laws of supply and demand and how price moves in a free-flowing market. The foundation of this strategy is that the amount of an instrument that is available and the desire of buyers for it, drive the price. It identifies zones on the chart where demand overwhelms supply (the demand zone), driving the price up or where supply overwhelms demand (the supply zone), driving the price down. Most supply and demand traders wait for the price to enter these zones, where major activities of buying or selling have taken place, before entering a long or short position themselves.
It makes sense to buy at a demand zone and to sell at a supply zone, but keep in mind that fresh zones are more effective than retested ones. They can be used as entry zones for a continuing trend or as reversal zones for a changing trend. Trades can be made aggressively or conservatively, each with their own rules of entry and exit. TradingView has a smart drawing tool that allows users to visually identify these levels on a chart.
I believe that it is possible to beat the market through a consistent and unemotional approach. This is primarily achieved through preparing instead of reacting. Click here to learn more about how I use the indicators below and Click here to get my complete trading strategy! Please be advised that I swing trade and will often hold onto a position for > 1 month. ...
Price rejected off Weekly resistance zone 118.000 / 50 fibonacci pullback region where price has reversed many times in the past, & retested the broken uptrend line from awhile back..
USDCHF is currently bullish but looking for some bear action in supply zone. Please let the price enter the supply zone before entering the trade.
Fib level .618.. high probability of going down.
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Vinny
Interesting scenario here, as price made a double bottom to support & accelerated through the descending trendline breaking the downtrend structure. Bulls in control & moving averages crossed over to the upside showing bullish momentum. Price made a large spike to trap new buyers & made a correction now at the 200 EMA & daily support region. 0.47000 region would ...
ENTRY: 81.9
STOP LOSS: 82.2
TARGET: 81.4
Selling momentum is increasing on h1 timeframe with each test of resistance (81.95) leading to a larger rejection.
Multiple timeframe confluence with the daily candle closing as a bearish rejection of resistance at 82.00.
The stop loss is protected by that same resistance level.
There is a support level at 81.7. I'll ...
XAUUSD (GOLD) - CONSOLIDATION RANGE - SCALP AND SWING IDEAS
If the price doesn't break that minor zone or start to stall too much, then we don't have a trade. Simple as that. After all, we might be wrong, but we have an SL for that, RISK MANAGEMENT for that and patience is a blessing in this game.
Welocme to GeekChartZ, Chart reading made simple
https://www.tradingview.com/x/Zb21jrHP/
Hello,
As you can see our demand zone was to low and price never reached out target. this is a very important lesson on being greedy and reasons why we need to have wide zones. O well we did not lose anything just missed out.
remember trading is not about how mant ...
