If you have been a regular reader of any of these Lessons from the Pros articles, you will without a doubt know that the education provided by Online Trading Academy is based around a consistent, rules-based strategy. We teach our students how to recognize low-risk and high-potential reward trades in the financial markets, all of which are based on the key principles of Supply and Demand. The opportunities which we look for to buy and sell currencies and other assets are simply highlighted by price and price alone. Any other tool which a trader uses to identify a speculative opportunity, such as a technical indicator or a traditional price pattern, is nothing more than an “after the event” signal. What I specifically mean by this is that and pattern or indicator requires an actual behavior by price before a valid signal can be generated to by or sell. This fact alone tells us therefore that any signal to buy or sell which is given to a market speculator is lagging in nature if it does not come from the price itself.
When a trader fully understands this fact, they can then learn to take only objective buying and selling signals for their trades, such as using Demand and Supply zones for their entries and exits, much like our most successful students of Online Trading Academy choose to do. This lack of reliance alone offers the astute and disciplined trader, a very distinct edge in the markets because they will always find themselves in the powerful position of being one of the very first to buy and sell at any given time, thus giving them the greatest overall risk to potential reward ratio. Anytime a trader waits for confirmation to pull the trigger and enter a trade, they will be buying after a rally or selling after a… Continue Reading
