I still don’t understand it quitely. If anyone has the answer then plz, do highlight it here. It would be very kind of you guys.
Price action trading (in simple terms) is looking at candlestick patterns or formations to see how the ‘price act’ to spot trading opportunities. Entry, target and SL will all be derived from the past price levels. However, pureplay price action trading is highly discretionary, hence requiring a lot of practice and observation.
I guess you meant positional trading - it is when you buy/sell and hold on to your position for more than a day. Anything other than an intraday is positional - in simple words.
Now ,I hope you were not confusing position sizing to positional trading. Position sizing is the computation you do to find how much quantity you can trade based on your risk appetite.
Hope that helps!
Price action is the movement of a security’s price plotted over time. Price action forms the basis for all technical analysis of a stock, commodity or other asset chart. Many short-term traders rely exclusively on price action and the formations and trends extrapolated from it to make trading decisions.
A position is the amount of a security, commodity or currency which is owned by an individual, dealer, institution, or other fiscal entity. They come in two types: short positions, which are borrowed and then sold, and long positions, which are owned and then sold