Part 3: The Relevance of Price
In the third book of this series on Forex Trading Stanley Davies speaks about price as an important tool in a trading career. Understanding how it works is the beginning of success as trader. Price works in a very structured manner, it moves from one area of liquidity to the next. The understanding of price action should be derived from the nderstanding of how the market is structured.
Price action based on an institutional understanding will give the trader the edge he has been looking for; the trader is going to realize that the markets are not random. Learning what the institutional traders know and studying their patterns is the start for a succesful career as a retail trader.