Interpreting supply and demand zones on a chart

DailyForex introduces supply-and-demand trading as an attempt to identify areas where buying or selling pressure previously became uneven. Traders mark zones around price activity and observe how the market behaves when it returns. The approach interprets historical interaction between buyers and sellers rather than establishing a fixed fair value.

The article distinguishes the broad concept from a complete trading system. A zone still needs an operational definition, a reason for entry and an exit process. Different chart timeframes and different ways of drawing boundaries can lead analysts to different conclusions from the same price history.

This summary treats the method as one analytical framework, not evidence that a marked area must hold. A new economic release, changing liquidity or fresh orders can overwhelm earlier reactions. Commercial broker blocks from the source are excluded, and no specific trade setup is recommended.