Price Action is the basic of forex. Its a technical and chart pattern analisys, what helps you to see the trends, and find the best entry and stopping points for a trade. Most of the traders say, that you have to learn and have to start your trading career with PRICE ACTION. Yes, it’s true, but I’m sure that you have to learn many other things and this is not enought. I always suggest to use BabyPips or PriceAction.com for learning, so I’ll not write everything down here abot PA. You can read lot, totally free on Nial Fuller’s site.
First of all, you have to learn about candlestics:
If you understand what do the candles show you, you will be trade easier. The bearish pin pars shows that the market is pushes the price down, harder than up. The candlebars with long tails are showing potential entry or trade closing points.
There are many patters, what shows you the possible way of the pairs:
You have to understand that this is not 100% and you have to find the right timeframe to your trading strategy. Sometimes you see an up trend on the 5 or 15 min chart and a down trend on the 4H or daily chart. You have to learn a lot and try them and you will feel it 🙂
As a trader, you are watching forms, what also help you to find the possible direction of a chart, but I hve to tell you again, this is not 100%.
So, if you’re a rookie I suggest to visit http://priceaction.com/. You will find every info in the free posts what you need.