First, If we want to learn about forex trading using supply demand trading strategy, we have to understand on how we read broken confirmation level from supply demand area it self. This is the key of supply demand trading strategy. As from my experience using this supply demand trading strategy, this basic rules that have to be done. Just simple, first if you want selling just looking supply zone level and if this supply zone level break it means there is closing candle break this level so price it would be moving to next demand level area.
And if you want buying so just looking demand zone area and if this demand zone area break so buying trading setup is form. This pictures below is representative intraday or swing forex traders you are. The green zone is for intraday which a small area zones, so take pips its about max pips. And for yellow zone is for swing level supply demand which getting from bigger time frame.
This range supply and demand area can be small and can be large. Is all depending what kind of trader you are. You can use trend lines , these can help to assess trend if you have the right rules.
But how read confirmation level of break supply demand zones to made a decision on every trade that we made. Basically supply demand is the heart of forex or any others instrument in market economy, since exchange of services and goods for a economic value.
Supply demand level is little bit different with support resistance level. Supply demand has at least two lines zones that covered this level. This two lines which have small distance area that is call with supply or demand zone that we can entry on this level.
This all explanation details is in e-book that you can download on this last page of this article. Here some pictures that give some clear explanation about this supply demand trading strategy: Attention This range supply and demand area can be small and can be large. Posted in Forex Supply Demand.More...