Recent Facebook Comments
From here: http://www.facebook.com/yourtradingcoach/
The reality of the market is traders making trading decisions.
It's all about people, not price.
Individual traders make trading decisions based on their perception of the market.
The net effect of all traders operating within the market will result in net bullish, bearish or neutral sentiment, which leads to bullish, bearish or neutral orderflow and its corresponding price movement.
Learn to view all price movement from the perspective of other traders, and how the price movement influences their decision making.
Can you expand on this further? Like, how?
It's the whole premise underlying all my beliefs about the markets – every article on the website and the 600+ pages of the YTC Price Action Trader. So it's not possible to outline in full detail here.
But it will become obvious if you take some time to think about what actually moves price.
All price movement is a function of orderflow. That orderflow comes from traders acting in the markets. So you need to be able to identify those places in the market where traders feel forced to act.
See here for another way of explaining, using a simple analogy from another game: http://www.yourtradingcoach.com/trading-process-and-strategy/Rock-Paper-Scissors-A-Trading-Analogy/