Absolutely!
Supply and demand is a universal concept that applies to virtually all markets.
Whether we’re talking about the Forex market, stock market, or even commodities – the laws of supply and demand always hold true.
At its core, any market is simply a place where buyers and sellers interact.
When more buyers want a certain product (or currency, or stock, or commodity) than what’s available, demand exceeds supply. This leads to prices rising as buyers are willing to pay more to secure their share.
The point where price begins rising we call a demand zone.
On the flip side, if there’s a surplus of a product with not enough buyers, supply exceeds demand.
Sellers might then lower their prices to attract buyers.
That’s our supply zone.
In trading, these dynamics form patterns that can often give traders a heads-up on price movements. So, whether you’re trading oil, Apple , Bitcoin, or any other asset, you can definitely use supply and demand as part of your trading strategy.
Just remember, it’s not foolproof.
While supply and demand zones can give you a good idea of where price might turn, there are no guarantees. Always consider other factors and use proper risk management.