What is a supply & demand zone?

What we want to find at the price zones where supply overwhelms demand and where demand overwhelms supply. The former is known as SUPPLY ZONES. When the market bumps into SUPPLY ZONES, the price will drop. Then, you can make money by shorting the market. The latter is market DEMAND ZONE. With the support of demand, the price will rise.

How do I make a trading plan when trading with supply and demand zones?

Making a trading plan when trading with supply and demand zones is not an easy task. There are a lot of factors to consider. Firstly, there are different ways to approach trading with supply and demand zones. Some prefer to use price action methods (like myself). Others are incorporating indicators (which I have never find very profitable).

What is the difference between support & resistance & demand supply zone?

Support and resistance is historical price point in charts but demand supply zone is marked analyzing the recent move to the price area. Sometimes support and resistance is defined by a line but D& S zone is area on the chart. If S&R is tested after substantial amount of time and honored then it becomes stronger.

How do you find a demand zone?

Just like establishing a supply zone, finding a demand zones requires the presence of a large candle. As you can see from the black rectangle above, there are 2 large bearish candles, which are the first indication of a demand zone. Here, we have the first indication that a demand zone might be imminent.