Stocks & Commodities V. 35:12 (16–21): Supply & Demand Trading by Reza Javaheri

Supply & Demand Trading by Reza Javaheri

What is it? How effective is it? How can you apply it to your trading? Let’s find out.

Any school of thought or set of guidelines—from a marketing strategy, to a test-taking strategy, and everything in between—will always have a base set of assumptions underlying it, upon which the theory can be built. Any technical analysis strategy will require you, as a technical trader, to assume certain things before the actual meat and potatoes of the strategy is laid out; this is constant. However, what isn’t constant is the credibility of these assumptions. The good news is, as a supply & demand trader, you recognize and operate under only one assumption, and that assumption happens to be the basic principle that underlies any market ...