Forex : Price Actions

Key Technical Analysis in Forex is identifying the price pattern, action & bouncing.
Check :
The currency bouncing off the pivot? support or resistance?
Check the daily chart to identify the trend?
Check hourly charts to identify support & resistance.

The are few typical price actions we can make use, it may use as Entry or Exit point.

1. Price Penetration - when the Bar, closes through the key level it breaks.

Price Penetration

2. Low Test Bar - The price is pulled down to extreme low, but buyer rejected the low & push the price significantly higher. The failed low test, indicates a buyer push the price higher.

3. High Test Bar - The price push up to high, but seller step in & push it significantly lower off its highs. This indicate strong selling & an indication of short.

These are some basics about price actions in Forex. Only the price bar action itself will not give enough power, with the combination of other indicators, it is massively power. Let's go to see how MACD use in Forex, how's different it compare with using in Stock analysis.