How To Trade Reversals and Transitions In Price Action

Trend reversal patterns are ‘sadly’ taught to beginners as ‘candlestick patterns’. The problem with this is a) you never learn to read price action, or order flow, and b) you get stuck looking for patterns that don’t happen often, thus missing many reversals or transitions in the price action.

In today’s trading video, we discuss a trend reversal pattern and how to read it in the price action + order flow. We also discuss how this pattern can be great for finding trend transition trades, potential breakout setups, and when a corrective structure is going to end.