Introducion

     Welcome everyone to the blog Trading Naked! My name is Richard D., I am a full-time trend and price action trader for a longer time. At the blog I am going to introduce my strategy with a full description and help you to know how to trade forex profitable.
     Later, when everything have been discussed it's possible setting up a section where free realtime price action trade opportunities would come with a chart, so it will be more easier to understand the system laid behind my strategy. Before we start, EVERYTHING you have to note, or ask, do without any hesitate – that's how we learn. Any kind of criticism or note are welcomed. Good luck to everyone with price action!

The begginings

     Like almost everybody, when I understood the basics of forex and I was ready to trade, I immediately turned to indicators and robots. Holy Grails. They didn't exist, but I was keep searching them. I can say with confidence I tested and tried a lot of robots and indicators, but after a few weeks all of them were ended in the trash and none of them worked.
     After a half year (it took a quite long time), I realised things aren't going in my way. I had got no strategy while trading, been using a lot of indicators which totally confused me and my psycho, I was trading on M5 and M15 tried to catch some minor movements. My charts looked beautifully with those 5-6 indicators, and me smart because I could read them – but I couldn't read the tape, I just didn't see the wood for the trees. In my opinion almost every newbies go through this way – some stop, some keep going.

Non-price action chart with a repainter indicator gathered from the net. You could seen smart, but not profitable.

    It goes without saying – several wiped accounts. I had to try something other, some more usual, some more simple and some more profitable. That was the time when I went to some more serious forums where I could find more serious traders with a proven track record and a working strategy. I studied really hard, went through a lot of posts, went for a lot of free price action webinars, and did a lot of demotrading with pure charts. That's how I got there.
    IMPORTANT! I am not telling indicators or robots are not working – they can, but there are only a few which actually operates well and could integrate to a trading system.

Price Action

     Naked trading is a style which not based on lagging indicators, but on the price's action, supports\resistances, trendlines, big round numbers, patterns. Also most of the time means trading on higher timeframes, following the actual trend. Although, unique ways and modifications are exist, just like mine – its a bit different from standard, pure price action strategies, but the basics is same.

An earlier screenshot from my Meta. A price action chart.

    Price Action is a subjective strategy, just like all the others. It differs from every trader how do they analyze the chart, where their trendlines put, how do they recognise the actual trend, what do they recognise as a swing low or high. All in all, trading price action is worth. Certainly this is not the only style which works – but the most  simple and maybe also one of the most effective.

(Written by Stockwalker 2011 June 8 )