Index of Price Action Analysis and Frequently Used Terms

This will be updated regularly

Common Terms used in Guides:

/ES - E-mini Futures contracts of S/P 500

AH/PM - Afterhours. Premarket.

Accumulation/Distribution - Large overarching patterns by funds to buy equity low and sell high. Reference frequently as Wyckoff - a specific type of A/D pattern.

Arbitrage - Purchase of an asset and selling of similar asset in another market to pocket difference on spread. /ES are futures, SPY is an ETF but both trade similarly intraday because Arbs bring the spread together. Similar to /RTY and IWM or QQQ and /NQ.

Back Test/Bid Check - Market moves in mechanical way back testing by confirming old support is new resistance once broken or vice versa.

Consolidation - Chopping price action preparing for a trending move. Also referred to as compression.

Confirmation - A successful back test that holds a higher low, or lower high if bearish.

D1 - Candles are written by their time interval. D1 = 1 day candles, H4 = 4 hour candles etc.

Darvas’ Box - Pattern of consolidation and break out written …