Price Action Trading is an important market trading strategy that involves studying the price movements of the assets over a given period. Curious to learn more about it? The best way to learn this method of trading is by taking up a Price action trading course.
In this article, we look at price action trading in detail, how can you learn this trading strategy and where can you get the best stock market courses. We will also look at how learning price action trading through StockPathshala can benefit you.
Let’s begin with a little understanding of Price action trading.
What is Price Action Trading?
When the traders indulge in any trading activities, especially Intraday, they use charts and technical indicators to back their decisions. That’s one way of using the tools available to reach better conclusions. The other way is Price Action trading which involves the usage of minimal or no charts and indicators.
What happens in this kind of trading is that the traders analyze the price movements of a security, be it a stock or a commodity and decide whether investing in that particular stock would be profitable or not. Technical indicators aren’t often used in price action trading and even if someone uses them, they are given considerably little weightage.
When more investors start buying a stock, the price action traders get a sense that the demand for that particular stock is going to increase and hence the prices are automatically going to increase. However, instead of following the herd, they do their own assessment first with the usage of buying volume and magnitude.
Let’s understand this with an example.
Suppose the price of XYZ stock remains in the range of ₹ 100 – ₹ 130 for the majority of the time.
Suddenly, the price breaks out of the ₹130 level or the resistance level and the stock starts being traded at ₹ 135. Even though the change seems to be a minor one at this point, it sends an alert signal to the traders who consider this as a buying opportunity.
Price Action Trading Course in India
The breakout in the above example doesn’t mean that the price will only go up from that point and that’s where the price action traders need to be careful. That is the time when different technical charts and historical data come in handy.
Traders learn price action trading strategies to enhance their assessment skills and you can learn these strategies using a price action trading course that helps you in spotting your favourable entry and exit points or using the tools like the Hammer or the Harami.
A lot of traders also face the challenges such as not being able to understand how to use the support and resistance-related information for their own benefits. Studying the complex candlestick charts as well as knowing the best Target and Stop loss execution also gets a bit confusing to many traders.
Some experienced traders also struggle with spotting the trends at the right time. Often, they get late in picking up a trend which is why they either make less profit than the others or they make big losses.
This is where enrolling in a course is of critical importance as it doesn’t only teach you the basic concepts of any unknown topic but the good courses also cover a lot more significant information that can take a beginner to a rather new level.
Why Use Stockpathshala for Price Action Trading Course?
While you can get a Price Action Trading Course on different platforms, Stock Pathshala provides you with the best course where you get to learn all the things necessary for price action trading.
No matter how much or how little experienced you are in this field of price action trading, this course suits the learners of every category.
You might be a beginner, starting your trading journey and looking to gather some basic knowledge before starting this trading strategy or you might be an experienced trader who is struggling with spotting the trends at the correct times and thereafter, making regular losses, Stock Pathshala has this price action trading course for everyone.
Under this course, you get the basic concept of Price action trading, to begin with. The basic concept helps you understand the structure of the market. Along with the basic concept, the course also gives you a tutorial to understand the charts and tools, trends, reversals, and breakouts.
The course is divided structure wised so that even the most novice trader doesn’t get confused in understanding the details.
Stock Pathshala Price Action trading course also teaches you the following things:
- The best way to use support and resistance
- How to study the candlestick patterns
- How to take positions (either long or short) to maximize your profit
- Price action trading strategies with practical examples
- How to put targets and how to put stop losses to maximize your benefits
- How to observe the trendlines for the best effects
- The best way to use Confluence, is a common trading strategy that is a combination of two or more trading strategies such as mixing price action trading with the usage of charts and indicators to make a profitable decision.
- Proper knowledge about tools like MACD and RSI with their practical demonstrations
Now we understand most of the concepts that are included in this course require video demonstrations to help you understand them better.
For example, studying the candle charts as well as trendlines might get really mundane and difficult without the video courses.
This is why the Stock Pathshala price action trading course explains these concepts in a video format where the learners get animated demonstrations as well as live and anchor-based recorded classes from the educators.
Having a human connection in the live classes as well as involving cool graphics in the animated videos make it easy for the learners to understand these concepts.
Along with getting in-depth information about the above-mentioned points, the learners also get regular self-assessment quizzes where they can participate and get to test how much have they learn stock market throught this course. This is useful to get a clearer vision of the entire concept.
Price action trading includes some uncomplicated trading strategies involving studying the previous price movements. However, relying just on the price movements might be a risky prospect in stock market trading as it can be subjective.
Two traders can judge one price pattern in two different ways. One might find the pattern bullish while the other can find it bearish and this is where it takes the usage of a few technical indicators into the consideration.
Although the core concept of price action trading, which is not to overcomplicate things still remains the same.
For a rookie trader, first understanding the technical tools and indicators and then balancing the weightage between the price trends and the tools can be quite a tricky task. This is where a course, like the one offered on the Stock Pathshala, turns out to be really useful.
This particular course doesn’t only offer the basic knowledge of the mentioned trading style but it also explains several technical tools, charts and patterns in great depth along with regular quizzes to test your learning.
Hence, If you are looking to learn price action trading through a course, Stock Pathshala is the best option for you.
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