Support and Resistance areas provided by different websites

Hi,

I have seen on many forex websites who provide support and resistance areas, fib levels etc on daily basis.

I want to now that these support and resistance areas are correct ?

For example Forexticket website provides many technical analysis …

Can I use those areas for my trading ?

Please guide me … thanks

When you first start out it’s hard to believe that if you keep trying learning and practice what you’re learned, you will in most cases within a limited amount of time, (which is different for everyone and that’s why I didn’t say 6 days, 6 weeks or six months) be able to look at a chart and see the: trend, major support and resistance, momentum, supply and demand areas, as well as volatility of any pair you’re interested in trading.

When I first started I used tech analysis from 2 sites and compared mine with theirs. I also signed up for free signals from some of the more experienced traders on specific pairs from this site and one other. Like I did with tech analysis every morning I compared their analysis with mine.

I found that are analysis didn’t always agree, but when both agreed with mine, those were the best trades to take. Like everything the more you practice properly, the better you get and since no one is right 100% of the time you use proper money management. Very important to learn to analysize yourself. Start with Tech cause in my opinion it’s the easiest, then take a run at fundamental and lastly trader sentiment. You need all three.

I personally never look at any media to plot support and resistance.

A wise man once said these areas are more like bands. To give you some help, look for major pivot points and price congestion areas. By default, these areas will have lots of pivots. It’s as simple as this.

Pivots occur when price makes a high, makes a higher high, then makes a lower high at the same time posted a low, a higher low and low lower than the previous low. It can be quite a daunting explanation. What are described would signal either resistance or a pause in an uptrend. If we flipped our candles on their head then we would have a support area.

The more pivots you see the stronger support or resistance area. Note, many people will have other explanations but this is mine. Hope you got it.

Thanks Gp00053 ,
I can understand there is no one 100% accurate in analysis. I draw support and resistance myself . Yesterday I found that website … I was just curious about their support and resistance areas… When I checked their areas those were not accurate and my support and resistance areas are better than those. So I decided to never look at website because they can confuse me .

Hi emeraldorc

I watched a video about pivot points where a person explains that Mid level Pivot work well . But again as Gp00053 said no one is 100% in analysis… I draw mid level pivots but they didn’t work for me… I use ADR for daily price move and assume they work well for me …

One reason why theirs are different than yours, could be that their lines are geared to support their analysis bias, not the other way around. For example if you pulled up tech analysis by investing.com and say empire.com and the website you found for say the audusd currency pair, you will see many times when their analysis doesn’t agree. Same if you look at different support and resistance indicators. When I started all I used was support and resistance indicators while I learned how to draw them myself, now I do them myself. Having said that when I’m scanning through currency pairs looking for trade setups, I still use a Zig Zag indicator to show major support and resistance levels cause it’s faster. But if you learn to do it yourself, and decide to use an indicator you should be in a better position to see if the indicator is accurate.

You have mentioned Fibonacci tools as well. Here’s my favorite Fibonacci video. Every time I watch and listen to it, I pick up new information that I missed before. If you decide to watch it, note his explanation between the 10 and 13 minute mark. It is an answer to your question as to why there can be different levels. But like I said it’s the best Fibonacci video I’ve come across. You can also search utube to get more info on trend lines and pivot points.

How to Trade with Fibonacci Levels - YouTube

[QUOTE=“gp00053;620509”] One reason why theirs are different than yours, could be that their lines are geared to support their analysis bias, not the other way around. [/QUOTE]

Very true!

I understand entirely. The biggest issue with these they do change a lot so they are never fixed. I tend to go back 2 or 3 years and mark all the pivots both high and low (arduous but nothing in life is easy), If the support held on more than 3 or 4 pivots then it is a significant level, I do this on all time frames, if the pivot shows on the support and resistance on more than 2 time frames, it is even more significant, soon you will see a pattern across time frames.

Congestion areas tend to show good support and resistance levels but once the break out happens then a new congestion almost always forms or price continues higher or lower. So some resistance and support levels hold faster than others simply because it is time frame relative. E.g. a 15 min support will break faster than an hour unless the support is showing on both time frames on a pivot. They help to enter into low risk trades and have held pretty true for me.

See the link of my lines, these are actually a few months old and see how price respects each level. This week alone these lines made me a solid 180 pips net gain. So I truly respect the pivot.

the good guiding guys. we can get it. i always learn from other

Sorry for late , I am too busy these days… thanks guys for your help. Thanks gp00053 for youtube video… very informative .

Can you explain more please in easy way, How you draw your pivots for better results …Thanks