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Price Action
Advanced Price Action Analysis

How to Study Back to: Trading with Smart Money
Candlestick

Candlestick Analysis  Advanced Price Action Analysis

Price Action Analysis In this article, I am going to discuss the Advanced Price Action Analysis. This is a
continuation part of our previous article, so please read our previous article before

proceeding to this article. As part of this article, I am going to discuss the following
Advanced Price
pointers in detail.
Action Analysis
 1. What is high and low?
Thrust Pullback and 2. What is the swing high and swing low?

Measuring Move 3. Criteria for drawing swing high and swing low
4. Types of swing high
Analysis
5. Strength and Weakness of Trend through Analysis Swing.

How to Trade with Before going forward let me know that, This is the extension part of price action analysis.
so I would suggest going through the previous article
Smart Money
 How to Study Candlestick
Supply and Demand
Zone Trading Price Action Analysis

Let’s begin
How to Day Trade
with Trend Understanding Market Structure through the swing

Multiple Time Frame It is similar to learning to read a new alphabet-once you understand the characters, you
Analysis can read the words, and once you know the words you can read the story. The first letter to
master tells you what market activity causes the formation of a short-term high or low. If

you learn this basic point, the meaning of all market structures will begin to fall into place.
Head and Shoulder
Pattern The market moves in the up-down wave, what we call a market swing. In a healthy bull
 trend, the upswing generally exceeds the downswing in length, the reverse is true for the
How to Trade with bear market. Hence by observing market swing, we are able to glimpse into the structure
of the market and get clues on whether the market will move up or down
Support and
Resistance
Swing high and swing low

Advanced Criteria for drawing swing high and swing low
Candlestick Analysis
SWING HIGH Or SWING LOW CONSIST OF MINIMUM 5 BAR. The middle bar must be

higher high and higher low then the two proceeding bar and the two following bar
Trendline Trading
Strategy
 
WRB Trading
Strategy

Day Trading Strategies


VWAP Trading
Strategy

Gap Trading
Strategy 

Intraday Open High
Open Low Trading
Restriction for drawing swing high and swing low
Strategy
 1. If bars high is parallel to the middle or high(LOW) bar, it does not count as one of the
PIN BAR Trading five bars in the swing HIGH (LOW) because it does not have a lower high(HIGHER
LOW) than the middle bar
Strategy
2. TWO ADJACENT swings high or swing low may share bars

Trading with
Sideways Price
Action Area

Pullback Trading
Strategy

Intraday Breakout
Trading Strategy

Risk Management

3 Techniques for
Risk Management in
Trading

Stock Selection & Live

Scanner

How to make own
Day Trading Scanner

Stock Selection for
Intraday Trading

Intraday Trading Course

2020

Intraday Trading
Course
 
Multiple Timeframe
Analysis for Intraday
Trading 

VWAP Trading

Opening Range
Trading Strategy

Opening Range
Breakout

Volume Price Action

Analysis

Volume Analysis in
Trading

Volume Price Action
Analysis

Volume Spread
Analysis in Trading

Candlestick Pattern
Analysis

Finding Entry
Opportunity using
Volume Spread
Analysis

Spring and Upthrust
Trading Strategy

VSA Trading Strategy
1. A swing high
2. B both swing high and swing low, this happens because two proceeding bar and two
Option Chain Analysis
following bar are inside bars, that fulfills the requirement of the middle bar must be

the highest or lowest point of five bar sequence
Option Chain 3. C both up and downswing by sharing bar
Analysis 4. D requires six-bar to form swing high as the fifth bar is equal high to the middle bar

Indicator  Why important?


These points not random, they created by the market. they represent momentary changes
RSI Trading Strategy
and demand and supply forces. The bulls could not move the market above the swing high.
BTST  This means that at that point in time, no one was willing to offer a price higher than the
swing high. Traders saw no value above the swing high
  In a nutshell, there are two key skills in reading price action:
BTST Trading
1. Evaluate how likely a swing pivot will hold up as support/resistance
Strategy
2. Understand the implication of a swing pivot not holding up as support/resistance
TECHNICAL ANALYSIS
Swing types
MASTERCLASS
 There are two types of swing
Technical Analysis
1. High and low

2. Swing high and swing low
Market Structure 
Let me explain to you

Understanding
Swing low(SL)
Market Structure
through Swing  The market tried to move down. Then, it stopped and the bullish trend resumed. The
 market broke all resistance(swing high) and made a new trend high. In other words, the
Supply and Demand market failed terribly in its attempt to move down. The lowest point it pushed to is called
swing low
Trading (Part – 1)

Supply and Demand
Trading (Part – 2) 

Chart Patterns 

Top 7 Chart Patterns
in Trading Every
Trader Needs to
Know

How to Trade Bull
Flag and Bear Flag
Pattern Tip: valid pivot makes sense only within the trending price action. To find a valid low, you
need to know the start point of the trend and the last extreme trend high. Then what about
How to Become a point B. Point B called a LOW not swing low
Successful Trader
Swing low

How to Become a Every major market has some pullback that is shallow and some last for one swing. The
Successful Trader point where pullback goes deeper and lasts for more than one swing, forming a LOW.
Eventually, this deeper pullback terminated and the trend resumed. A low becomes a swing
Most Popular Trading
low once the price breaks out above the last extreme price high for the resumption of the
Books bullish trend. Let me explain to you

Most Recommended
Trading Books

Most Recommended
Intraday Trading
Books

Most Recommended
Swing Trading Books

Most Recommended
Candlestick Trading
Books

Most Recommended
Price Action Analysis
Books

All the concept are discussed above are applicable for a swing high and high

HOW TO KNOW WHEN LOW BECOME SWING LOW

When the price cleared the above swing high level. To clear a price level, the market must
form a price bar that is completely above the price level. This means if a bar low is higher
than a price level, the market has cleared above the price level.

UNDERSTANDING MARKET SWINGS in Advanced Candlestick Analysis

We have understood how to find out swing high and swing low
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Let understand STRENGTH AND WEAKNESS OR TREND THROUGH ANALYSIS OF swing

Momentum
Thrust and pullback
Volume

What is Momentum?

The rate at which price move with respect to time

We are simply observing price action in order to compare the current speed and
acceleration of price movement with historical speed and acceleration. Momentum is
visible on a chart by observing the slope (angle) of price movement

The same concept applies to price action on charts. Changes in momentum are observed
through changes in the slope (angle) of the price action

Analysis of momentum is not about measuring any absolute value of momentum, but in
making a comparison of current price action momentum with prior price action
momentum.

WE can compare through

1. Candle
2. Swing

Momentum through candle

Compare the momentum of the current candle with the momentum of the previous candle
BAR COUNTING

1. Counting the number of bars in a half cycle and comparing one-half cycle to another
(previous half cycle)
2. Comparing each swing(relative strength of move)
3. How much time to get up or how much time to get down
Momentum through swing

1. Compare the momentum of the current price swing with the momentum of the
previous price swing in the same direction?
2. Compare the momentum of the current price swing with the momentum of the
previous price swing in the opposite direction?
3. Is the current price accelerating or decelerating? What does that mean?

1) Compare the momentum of the current price swing with the momentum of the previous
price swing in the same direction?
Now let’s remove the downswing and study what it is showing Is price faster or slower
than before?

Compare the slope of UP-swings (a), (c) (e) and (g). Note the decreased speed on each of
these legs, indicating a reduction in bullish momentum. Weakness is appearing on the
bullish side.

Clearly shows upward momentum decreasing

Now putting the same chart with only downward momentum

Compare the slope of upswings (B) (D)(F) and (H). Note the increasing speed on each of
these legs, indicating an increase in bearish momentum. bearish price swings are showing
signs of strength.

BY COMPARING THE SWING IT indicating an increase in bearish momentum. bearish price

swings are showing signs of strength. The price movement is more likely to continue in the
direction of strength and against the direction of weakness.
2) Compare the momentum of the current price swing with the momentum of the previous
price swing in the opposite direction?

That is, comparing the current bullish swing with the previous bearish swing; or comparing
the current bearish swing with the previous bullish swing. Note the slope of (a) is quite
steep compared with the slope of (b). The latest upswing (b) has shown weakness
compared with the previous downswing (a). Strength is still in the bearish direction.

Bullish upswing (d) shows an increase in speed compared with the last downswing (c).
While the strength is now to the bullish side. The shallow angle of downward momentum
compared with the steep rise of upward momentum indicate Strength is now clearly on the
bullish side.

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The price movement is expected in the direction of strength and against the direction of
weakness.

3) Is the current price accelerating or decelerating? What does that mean?

The deceleration in this example is evidence of bullish momentum gradually weakening as
bearish pressure overcomes any bullish pressure.

In the next article, I am going to discuss Thrust Pullback and Measuring Move Analysis in
Trading. Here, in this article, I try to explain the Advanced Price Action Analysis in Trading. I
hope you enjoy this article and understand the Advanced Price Action Analysis concept.
Please join my Telegram Channel  to learn more and clear your
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