9. Supply and Demand Summary
We have various patterns for how we can draw our Supply and Demand zones at Supply and Demand.
When it comes to Supply and Demand, the best time to trade is when the base has as little traffic as possible.
The riskier the trade becomes as the volume increases.
So keep this in mind, especially if you are just getting started with Supply and Demand trading. If very high and large wicks have already formed when forming the base, the trade becomes even riskier.
Testing the base can often mean breaking the wick far enough to make a long wick. Make sure you do not get in too early, or you will risk hitting your stop loss.
These are the three tips for searching the base.
A fresh base is the best base. There are still a lot of orders in this base type. When it returns, this type of base will be able to afford the price.
Because the buy order comes after the base’s order, this type of base is usually translucent. The base height factor has an impact on this.