// TRADING TERMINOLOGY
What is Price Action?
The movement of a security's price plotted over time.
In-Depth Explanation
Price action forms the basis for all technical analysis of a stock, commodity, or other asset chart. Many short-term traders rely exclusively on price action and the formations and trends extrapolated from it to make trading decisions.
Practical Example
"The trader ignores all indicators and focuses entirely on price action to find entries."
Related Terms
Master the language of risk
Knowing the terms is just the start. Learning how to apply them is where the edge is found.
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