If you’re new to trading on Quotex, one of the most important skills to develop is understanding price movements. At first glance, the charts may look random — constantly going up and down. But with a little guidance, you can begin to recognize patterns, trends, and signals that help you make better trading decisions.
In this article, you’ll learn how to read and understand price movements on Quotex as a beginner, so you can start trading with more confidence.
Table of Contents
What Is Price Movement?
Price movement refers to how the price of an asset (like EUR/USD, Bitcoin, or gold) changes over time. On Quotex, these changes are shown on a price chart in real time.
The chart visually represents whether the asset’s value is going up (bullish) or down (bearish). Your job as a trader is to predict the direction of the next price movement over a specific time frame.
To do that well, you need to understand the basic elements that influence these movements.
The Price Chart: What You’re Looking At
Quotex uses a line chart or candlestick chart, depending on your settings. Both are easy to read once you know what to look for.
- Time and Price
- The horizontal (x) axis shows time
- The vertical (y) axis shows price
You can adjust the time frame — from 5 seconds to 1-minute intervals or more — depending on how quickly you want trades to play out.
- Green = Up, Red = Down
- When the price goes up during a time period, it usually shows green
- When it goes down, it shows red
Understanding this basic color-coding helps you spot trends easily.
What Causes Prices to Move?
Price movements are driven by a mix of supply and demand, trader behavior, and external events like economic news. On a basic level:
- High buying interest = Price rises
- High selling interest = Price drops
Here are some common reasons why prices move:
- Economic news (interest rates, inflation, jobs data)
- Market sentiment (fear or optimism)
- Trends in related markets (e.g., oil prices affecting USD/CAD)
- Technical signals (like price patterns or chart indicators)
Spotting a Trend
One of the first things to learn is how to identify a trend — the general direction of the market over time.
- Uptrend (Bullish)
- Price makes higher highs and higher lows
- Traders might place “up” (buy) trades during this trend
- Downtrend (Bearish)
- Price makes lower highs and lower lows
- Traders might place “down” (sell) trades in this condition
- Sideways (Ranging)
- Price moves within a horizontal range
- This can be harder to trade, as there’s no clear direction
Use a longer time frame (like 5 or 15 minutes) to help spot the overall trend more clearly.
Using Support and Resistance
Support and resistance levels are key concepts in reading price movement.
- Support: A level where the price tends to stop falling and bounce upward
- Resistance: A level where the price tends to stop rising and reverse downward
Price often reacts around these levels. Beginners can look for these zones to time their entries.
Example: If the price is near a support level and showing signs of bouncing up, it may be a good point to consider an “up” trade.
Indicators to Help You Understand Movements
Quotex offers built-in indicators that can help confirm your understanding of price behavior. As a beginner, start with simple tools:
- Moving Averages
- Smooth out price to help you see the trend
- When price is above the average, it suggests an uptrend
- RSI (Relative Strength Index)
- Shows whether an asset is overbought or oversold
- Helps spot possible reversals
- MACD
- Combines trend and momentum signals
- Useful for spotting crossovers and confirming trades
Use these indicators to support your decisions — don’t rely on them alone.
Common Mistakes to Avoid
Understanding price movements takes time and practice. Here are common beginner mistakes to watch out for:
- Trading without looking at the trend
- Relying only on one indicator
- Overtrading during sideways markets
- Ignoring news events that cause sudden price spikes
- Jumping into trades without analyzing the chart
The key is to stay patient and avoid rushing into decisions.
Practice Makes Progress
The best way to improve your ability to read price movements is to practice. Use the demo account on Quotex to watch how charts behave, draw trendlines, identify support/resistance, and try placing demo trades based on what you see.
As you practice more, you’ll begin to “read” the chart more naturally, much like learning a new language.
Final Thoughts
Understanding price movements is essential for making smart trading decisions on Quotex. By learning to recognize trends, using support and resistance, and practicing with indicators, even beginners can start to develop an edge.
Don’t try to master everything overnight. Focus on building one skill at a time, trade responsibly, and always keep learning. The more you understand price behavior, the more confident — and successful — you’ll become.
