Definition of 'Price Action (PA)'
Price Action is simply the movement of prices on a chart,
the art of Price Action Analysis is recognizing patterns of potential profit.
It includes all facets of the stock or futures price including sometimes volume,
even though some traders would argue that is semantically not accurate.
Price Action is highly subjective.
What one trader interprets as a pattern another trader may consider noise.
Price action can be visualized in common patterns and setups such as the 123 Reversal
or the shooting star.
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