Drawing and analyzing support and resistance lines

[ahefner33]

Hello. I wanted to ask if anyone could give me some good references on drawing support and resistance areas? This is the biggest problem with my trading because I always end up drawing/calculating my lines wrong and I don't have a good idea/plan on where price will potentially be going. In other words I get lost or make bad judgements. Sorry for all the posts but I am just trying to learn and build confidence in my trading.Thanks to all.

ahefner33

[ramrocket]

Get the VT Trader trading platform. Add to your chart Support & Resistance indicator and you have it! Nothing to draw & maintain.

[james]

Hi There
What i do is simple
Take a 30 min or 1hr chart and plot the high and low, plus the high's and low points that stand out on the time frame in frount of you ,should have about 6 lines or so that's it, they are true support and resistance for that day.

Sorry i cant do a chart PDF or j peg not sure how if someone tells me i will post an example.


Jim

[ahefner33]

Hello.

Ok. So I'm trying to better understand setting p-targets with support/resistance
lines. (Attached chart below)On my 15m chart I have 3 whole candles close above my 25%. So would it be safe to say that price would hit next resistance which is price 1.9664? (This also is my 68% on my 4HR chart and 38.2 on my 15m chart). As you can see, that price quickly dropped back below my 25% level. This is where I always get confused and think that I have drawn my Fibo line wrong because 90 percent of the time, my next target I have never gets hit, even with a whole candle stick closing above previous resistance.

Question 2:

Also When you are using support and resistance from higher charts say a fibo level and its price(level) is in between your fibo levels on the lower chart, would it be the next target you would aim for or would you just go ahead and aim for the fibo levels on your lower chart

Here is an example of what I mean:

Say you have price breaking your 38% on 15m chart, so you think the price is going to rally to the next resistance. On the 4HR chart your 61% level splits in between you 38% and 61% on your 15m. Would I select the 61%(4HR) price for a target resistance or would I just skip over and aim for the 61%(15m) price for my next target?


Thanks for all your help guys. Im working at this one day at a time.

and many reps for the help!