It is a method of price prediction and speculation that is utilized by retail traders, speculators, arbitrageurs, and even trading firms that employ traders. The methodology can be applied to a wide range of securities, including equities, bonds, currencies, commodities, derivatives, and so on.

Price action trading is a method of analyzing and trading the price movements of a financial instrument or security. The method is simple, yet it is often used by professional traders. Price action traders look at the price movement of a security and trade based on the patterns they see in the price chart. The use of price action trading can be beneficial for traders because it allows them to trade without using any indicators.

Price predictions can take place in numerous manners, and price action trading is a rather popular one. It is used by traders as well as speculators and it can be applied on various kinds of securities.