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Nial Fuller

NIAL FULLER
Professional Trader, Author & Trading Coach

Exactly How I Analyze Price On Clean Charts

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By in Forex Trading Strategies By Nial Fuller Last updated on | 55 Comments

There is much more to trading than just opening up your charts and looking for an entry signal. In fact, (don’t tell anyone this) a good price action trader knows how to set up and analyze his or her charts so well that they may not even need a price action “pattern” or “signal” for a trade entry. Indeed, the underlying market bias, which is defined by the structure of the market, i.e. trend, key horizontal levels, etc. can often provide us with enough clues to spot a potential entry. Hence, learning to identify and plot these pieces of the technical analysis “puzzle”, is very, very important.

In today’s lesson, I am basically going to walk you through how I do my daily and weekly chart analysis which you can see in my market commentaries. The primary pieces of this puzzle are: Clean black and white price charts, key levels, trends, price action, market bias and signals. As a result, these things are my main focus when doing my analysis and market commentaries, because learning how to properly map a market is vital to understanding how to properly trade with price action.

Why I Use “Clean” Charts & How to Set Them Up

Clean charts, or indicator-free charts, are the backbone of my technical analysis and price action approach. If you don’t yet know why I prefer clean, naked price charts, check out my article on why indicators will destroy your trading. Suffice it to say, I subscribe to a simple, less is more trading philosophy, and for some very, very good reasons, which I have written about often.

If you don’t yet use clean, indicator-free price charts, I have an excellent tutorial on how to set up your charts here that you definitely need to check out. You can also the download the metatrader trading platform we use here.

Here is a simple way to set up your charts properly:

First, you will right click on the chart and then select “properties” at the bottom of the pop up menu. Once you do that, you will see the following screen for chart options. First set the colors and other options how I have them in this image:

Next, you will select “common” and set the options as follows:

That’s a basic overview of how to quickly set your candlestick charts up exactly as mine are. Remember, there is a reason why I set them up this simply; because simple is better in trading and we are trying to eliminate variables that may confuse us or cause doubt, fear, etc.

How I Analyze Clean Price Charts

When writing my weekly members market commentary, the first thing I do is zoom out on the weekly chart, because I want to get that bird’s eye top-down view, this gives me a good idea of what has happened and how that may influence what currently is happening.

In the chart below, notice I’ve zoomed out to the weekly view of the current Gold charts. I have marked the most obvious key levels of support and resistance. Note, often these levels will “flip” from support to resistance or vice versa, as price moves up or down:

In the chart image below, notice I’ve zoomed out so I am looking about the last year’s worth of data on the daily charts. This gives me plenty of time to see how the previous year’s levels and trends, as well as price action, as led us to the current point. You will see what I’ve drawn in below on the chart, these are the levels I view as the most relevant as well as the areas of consolidation and trending price action, these are the first things I am looking for when I do my price action analysis

In the next chart, we have zoomed in a bit more, but you’ll notice the same levels are there. We are going to dissect things a bit more here.

First, notice the bullish tailed bar on the far left of the chart, this was clearly an important turning point from down to up, so we will draw a horizontal level at the low of that bar; this level would once again be relevant if price fell back down to it. Then, notice price entered into a period of sideways consolidation for almost two months, before breaking up and out of it. However, after the breakout, price chopped slowly higher and then formed a bearish pin bar at 1237.00 area; a resistance level we had previously marked on the chart. Now, whilst this would be considered a “counter-trend” pin bar, which usually i don’t like, since it was at an important level we already had on the chart, and there was a clear target below at the previous breakout level of 1212.00 area, savvy price action traders could have considered a short-term trade targeting a move into that level. Note: 1212.00 or really 1215.00 – 1205.00 area was a very strong zone of support due to the previous breakout and I would have been looking to get long on a pull back to that area after the upside breakout.

In the next chart, we are looking at how when a market swings, it leaves behind a level, and we then watch those levels for pull backs to trade in-line with the existing momentum.

Notice the areas marked “watch for pullbacks”, we would have been watching for price to pull back to these levels after it broke above them, to get long and trade in-line with the bullish momentum that was clearly developing. Ideally, we would get a price action signal at these levels after price pulls back to it, but this is not always necessary, as I’ve written about, sometimes all you need is a level and a trend for an entry, see my T.L.S. article for more…

Finally, we have zoomed in to the most recent price action of the daily Gold chart.

From this chart, we can see a couple of potential entry signals that formed after pullbacks to 1212.00 area and 1237; again, we had already marked these levels on our charts and were waiting to “attack” should price rotate back into them. Currently, as of this writing, price is hovering just under the key resistance area up near 1305 – 1295 area.

Conclusion

I always think of analyzing a market from the “top, down”. This means, you want to start with the longest time frame, zoomed out, and then you gradually shorten the time frame and zoom closer in. You do this to get a “bird’s eye” view of the market so that what is happening recently makes more sense within the longer-term context. Think of performing your weekly and daily market analysis like reading a book; in order for you to understand what’s happening on page 100, you have to have read and comprehend pages 1-99. It’s really no different in trading; you have to build a narrative in your head from the market you are analyzing, and you do this by looking back in time, plotting levels, analyzing the price action and then keeping up with the market each day at the close, adjusting levels or adding news ones as necessary.

Once you start doing this regularly, it will start to become your price action trading routine and eventually it will turn into a habit. Soon, you will thoroughly enjoy it because let’s face it, keeping up with the markets is fun (if you’re a trading nerd like me anyways). So, enjoy it, but also realize that what you’re doing is getting in-tune with the market and its price action, and this truly is a requirement if you want to have any chance at learning to trading professionally.

Please Leave A Comment Below With Your Thoughts On This Lesson…

If You Have Any Questions, Please Contact Me Here.

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About Nial Fuller

is a Professional Trader & Author who is considered ‘The Authority’ on Price Action Trading. He has a monthly readership of 250,000+ traders and has taught 20,000+ students since 2008. In 2016, Nial won the Million Dollar Trader Competition. Checkout Nial's Professional Trading Course here.
  1. Sihle Mthethwa March 17, 2019 at 12:37 am

    your teachings are so simple as ABC with clear illustrations making things easily understandable. im learning and definately after your lesson i will be a better trader. love you Nial

    Reply
  2. GAVIN MOLT March 8, 2019 at 11:12 am

    NIAL THANKS MAN

    Reply
  3. Japheth Nwadiogor March 1, 2019 at 8:56 pm

    I’m beginning to think if you are the one who invented forex 😂. The way you teach & explain things makes forex so simple. I Iove you Niall. Thanks for this wonderful piece.

    Reply
  4. Solomon Oyeniyi February 16, 2019 at 12:12 am

    Thanks for this market analysis.
    This is understandable enough.

    Reply
  5. Adriana Ghidau January 23, 2019 at 9:24 am

    Hello Nial

    It’s so amazing ,it’s so true and looks easy to follow your advise .
    It’s the only one way to growing as trader : keep it simple as it is !
    Thank you , useful article again !
    Xx
    Adriana

    Reply
  6. NWEKE UCHENNA EMMANUEL January 21, 2019 at 7:51 am

    great work like ever,truly enjoyable,i like it,it reminds me of strong pin bar,wick support and wick resistance,thanks a lot,i ll also like to download the platform you sent.

    Reply
  7. TARUN KUMAR SUTHAR January 21, 2019 at 1:31 am

    i started trading since 10 march 2012, i have lost money and time without base knowledge. i have subscribed your course since June 2018. after 3 months i have started earning money without any time waste and problem. THANKS A LOT OF DEAR GURU.

    Reply
  8. Colin January 20, 2019 at 2:17 pm

    Thanks, really like the article. Especially to ‘read the market like a book’ as the top down approach is so revealing for correct analysis.

    Reply
  9. Debasis Mukhopadhyay January 19, 2019 at 1:32 pm

    Excellent article. Puts many of your other important articles in perspective.
    Regards

    Reply
  10. Ngozi Okoronka January 19, 2019 at 11:06 am

    Wow, what an eye opener. Thanks very much Nial.

    Reply
  11. Gerison January 19, 2019 at 10:03 am

    Amazing article and analysis Mr. Nial. It also amazes me to see how the Price Action remembers those support and resistance lines almost every time it retraces.

    I’m indebted to you.

    Reply
  12. Audrey January 18, 2019 at 7:28 pm

    Thanks very much Nial. This is very informative and eye opener.

    Reply
  13. gabriel delfin January 18, 2019 at 6:43 pm

    Very informative, thank you so much

    Reply
  14. Tarus January 18, 2019 at 10:38 am

    knowledge :)

    Reply
  15. Tommy Beard January 18, 2019 at 5:31 am

    Thanks for another great article and thanks for those useful links which you always include with your lessons.

    Reply
  16. Shirantha January 18, 2019 at 4:53 am

    This cleared my confusion on price action analysis wheather it done zooming to nearly 6,3 months or one or more year. That confusion made on me by reading your own members article and other articles.

    However, This article itself cleared out everything. Thanks mr. Nial. God bless you!

    Reply
  17. Khesiwe January 18, 2019 at 4:43 am

    Thanks Nial excellent article

    Reply
  18. Ramesh Jha January 18, 2019 at 12:37 am

    insightful and encouraging Nial as usual :)

    Reply
  19. James Purdy January 17, 2019 at 10:42 pm

    Thank you Nial. An excellent and informative article that everyone should read!

    Reply
  20. Sthembiso January 17, 2019 at 6:27 pm

    I’m short of words. Thanks a million, Mail. I can feel it, it’s in my fingertips!!!

    Reply
  21. Chris O.Onaghinor January 17, 2019 at 6:10 pm

    Hello Nial,
    This write up is very instructive, informative and educating. Thanks a lot Sir.

    Reply
  22. Hakan Cakir January 17, 2019 at 5:27 pm

    Good work Nial, thank you so much and always keen to read your lessons.

    Reply
  23. Jim Watts January 17, 2019 at 5:21 pm

    Thanks for the article Nial.

    Perhaps I should write a book on all the things I have done wrong when Trading.

    The number one point would be a very messy chart. ( I have even written reminders to pick up the grandchildren on mine)

    Reply
  24. turtle_lisa January 17, 2019 at 4:17 pm

    this was excellent – thanks

    Reply
  25. Nelson Sam Mborooro January 17, 2019 at 4:14 pm

    Thank you for once again sharing your knowledge, this a very powerfull tool to analyze charts that we as traders ignore. Thank you Nial.

    Reply
  26. O’sinachi January 17, 2019 at 4:05 pm

    Dear Nial,
    You are the light that shows us the way.
    Thank you for the great enlightenment.
    More grease to your elbow.

    Reply
  27. Rahwa January 17, 2019 at 3:17 pm

    thank you Nial. I am still struggling trader, but I am 100% sure I will succeed in the near future , because of you. May God bless you and your family

    Reply
  28. DNTHUC January 17, 2019 at 1:47 pm

    Helpful , Thank you

    Reply
  29. Thabo January 17, 2019 at 12:59 pm

    Good Morning Nial

    Thanks for this important basic lesson which will help us to follow your pattern and methods of analyzing the market.

    May God bless you with your family and your team.

    Kind Regards

    Reply
  30. Frank January 17, 2019 at 10:34 am

    Yet another absolutely fantastic article. Thank you Nial.

    Reply
  31. kadri January 17, 2019 at 8:27 am

    Nice and precise analysis.Many thanks

    Reply
  32. Paul Ranieri January 17, 2019 at 7:51 am

    Nial,
    It is always great to here how the person is thinking when they display chats and why they have chosen levels they have- you have opened up another level of learning for me. Thank you
    Off to practice!

    Reply
  33. Andrzej January 17, 2019 at 7:48 am

    Simple, but difficult :-)

    Reply
  34. Magnus January 17, 2019 at 7:41 am

    Very nice!

    Reply
  35. nalubwama prossy January 17, 2019 at 7:20 am

    Great. Thank you NIAL

    Reply
  36. Krystian January 17, 2019 at 6:18 am

    Great article, very educational and shows the power of Price Action, Thank you Niall

    Reply
  37. Amos January 17, 2019 at 6:11 am

    It is a very handy article to mention, am closely following each directives given in. However, it happens that either in short time frame “say 30 minutes” there is consolidation and getting to high time frame (4 hours also) I hardly see the consolidation. How then can I figure out the price action for consolidation from the lower time on the higher time frame?

    Reply
  38. PAUL GENES LAPINING January 17, 2019 at 4:33 am

    Sir Nial,

    as always, brilliant approach.

    all the way from Phils.
    BR,
    Paul

    Reply
  39. Lynette Silver January 17, 2019 at 3:31 am

    Great article Nial. Thank you.

    Reply
  40. Manohar Nadkar January 17, 2019 at 2:55 am

    Hi, Nial
    Thanks for beautiful and useful article..
    Manoha Nadkar

    Reply
  41. TFET January 17, 2019 at 1:52 am

    One of your best articles Nial!

    Reply
    • Enéias Nascimento January 17, 2019 at 7:44 am

      I totally agree. That kind of articles are the best, but i also like those with psychology of trading ones.

      Thaks, Nial, you are top! God bless you.

      Reply
  42. Gifro January 17, 2019 at 1:37 am

    Best lesson ever.

    Thanks a lot……

    Reply
  43. Mario Smith January 17, 2019 at 1:30 am

    Thank you Nail great lesson if there no planing everthing will be ruin at the end.

    Reply
  44. fawaz bamakrait January 17, 2019 at 1:24 am

    MY FRIEND NIAL.

    READING YOUR LESSON IS AN AMAZING GUIDELINE FOR ME ,EVER SINCE I KNEW YOU I STOPPED USING A LOT OF INDICATORS ,AND BECAME SO ABLE TO ANALYZE ANY CHARTS AND IF I AM IN DOUBT I ALWAYS STAY OUT .SO THANKS MY MASTER .

    Reply
  45. Uzoma Nnamdi January 17, 2019 at 1:06 am

    Great. Thank you

    Reply
  46. Michael January 17, 2019 at 12:58 am

    Oh! What a lovely day to have read this….. Thanks boss.

    Reply
  47. Bello Ololade January 17, 2019 at 12:28 am

    Insightful as always.
    Great write up,keep up the good work of impacting lives positively.
    Thanks,
    Nial

    Reply
  48. Emmanuel January 16, 2019 at 11:57 pm

    Good piece n insightful as well… Thumbs up

    Reply
  49. Ropfiwa January 16, 2019 at 11:42 pm

    Thanks Nail, you have no idea how your articles are improving our trading skills.
    Thank you

    Reply
  50. CHUKA UWAOMA January 16, 2019 at 11:16 pm

    THANK YOU FOR THE MATERIAL PROVIDED.IT IS DEEPLY APPRECIATED.

    Reply
  51. Pius January 16, 2019 at 10:58 pm

    Educative!

    Reply
  52. Niko January 16, 2019 at 10:25 pm

    Very informative Nial. Thank you.

    Reply
  53. Wale January 16, 2019 at 10:16 pm

    There is much more to trading than just opening up your charts and looking for an entry signal. In fact, (don’t tell anyone this) a good price action trader knows how to set up and analyze his or her charts so well that they may not even need a price action “pattern” or “signal” for a trade entry. Indeed, the underlying market bias, which is defined by the structure of the market, i.e. trend, key horizontal levels, etc. can often provide us with enough clues to spot a potential entry. Hence, learning to identify and plot these pieces of the technical analysis “puzzle”, is very, very important.”
    THIS MAKE MY DAY….
    Thanks boss!!

    Reply
  54. Joseph January 16, 2019 at 10:12 pm

    Awesome article, quite helpful. Thank you Nial

    Reply

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