What is a supply and demand strategy? A very strong demand imbalance forces price to rally. Simple stock trading strategy

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A very strong demand imbalance forces the price to rally and fill unfilled orders, moreover if the big picture trend and bias are bullish. Dexcom Inc DXCM monthly chart is a clear example. As a beginner, trying to learn how to trade stocks you will come across with multiple trading strategies, all of these strategies can work if the correct money management is applied and the entries follow your fully tested trading plan.

As a beginner, trading stocks can be bewildering –

As a beginner trying to learn how to trade stocks you will probably have read about multiple trading strategies using all kind of lagging indicators and oscillators. Which indicator should I use? Which oscillator should I place on my charts? Should I buy when the underlying asset in a certain timeframe is overbought? What if there is an oversold CCI oscillator telling you to go short instead? What should you do? Like I said previously, as a beginner you will be wondering what to do, which trading strategy to trade.

What is Set and Forget for –?

Trading stocks in financial markets should not be that difficult. It gets more and more difficult as you start adding more and more variables to the recipe. At Set and Forget trading community, we only trade supply and demand imbalances because the financial markets and life itself revolves around the creation of these imbalances in real-world scenarios. Supply and demand are present in your daily life when you buy a new house or a new car, or a new pair of shoes.

In the attached chart, you will see a very strong impulse created on the monthly timeframe at [1] starting at $105 per share. That’s the kind of impulses we are interested in. Our supply and demand strategy will tell you where to buy and where to sell, but most importantly when and where not to buy or sell. No need of any indicators to place a trade, we don’t need them to correctly trade a supply and demand strategy since all those indicators are lagging and telling you what they are programmed to do, we just need price action to see what the trend is and where the new supply and demand imbalances are being created.

 

Price created a strong monthly demand imbalance around $105 per share on Dexcom Inc American stock, it took for months to retrace to the demand level but when it did at [1] new orders were placed by professional traders and institutions.

Now, trying to break all time high again as it’s done in the past over and over. These new imbalances force price to rally:

How can you trade our supply and demand strategy? What is the correct supply and demand strategy? If you want to learn how to trade supply and demand imbalances, join our supply and demand trading course.

A bit more about Dexcom Inc #DXCm american stock

DexCom, Inc., a medical device company, focuses on the design, development, and commercialization of continuous glucose monitoring (CGM) systems in the United States and internationally. The company offers its systems for ambulatory use by people with diabetes; and for use by healthcare providers. Its products include DexCom G6, a CGM system for diabetes management; DexCom G5 mobile CGM system to communicate directly to patient’s mobile device; DexCom G4 PLATINUM system for continuous use by adults with diabetes; and DexCom Share, a remote monitoring system. DexCom, Inc. has a collaboration and license agreement with Verily Life Sciences LLC and Verily Ireland Limited to develop a series of next-generation CGM products. The company markets its products directly to endocrinologists, physicians, and diabetes educators. DexCom, Inc. was founded in 1999 and is headquartered in San Diego, California.

 

 

Alfonso Moreno
Alfonso Moreno
Full time trader, expert technical analyst and founder of Set and Forget supply and demand online trading community. Traveler, photographer and adventurer.

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