The financial markets are a complete mystery right? Wrong, in our opinion. In this article we will give our perspective on the financial markets and attempt to bring an understanding to the movement of price through Supply and Demand Zones Theory. This information should be used for informational/educational purposes only and it should always be understood; there is an extreme risk in trading and risk capital can be lost entirely.

First we must look at the market's underlying source which is pure psychology. Each individual, commercial or institutional trader around the world make up this psychology and are force fed massive amounts of news to influence their thoughts. Media is the main source of news and can be rather manipulating to many if the information is not interpreted in the correct sense. Luckily for us there is a single piece of information that we all have which cannot be manipulated, price action. It is our job to interpret the data and analyze accordingly. Price tells us every action and reaction that has occurred for any given instrument therefore telling us what the majority of traders were thinking at that time and placing a historical value on that instrument. It also leaves foot prints along the way to indicate where price may pause, bounce or reverse at a future date. This leads us to our zone trading methodology.