Does anyone use a scalp method near support lines as the broker’s push the price past the line to hit stop losses? Is this a successful strategy to go with normal trades?
Seems to me that every time a major S&R line is neared, the broker’s will at some point push the price past the line and then it is quickly pulled back. Could grab a quick 50 pips when this happens?
Any ideas?
First, you have to understand this: Brokers don�t push the prices. Guys with big money do. Banks and insitutional traders know where you are going to place your SL, so they move the prices to get you out of the trade.
Trading near support and resistance lines is a very profitable strategy. If you are looking to trade that way, take a look at the post DONT MAKE TRADING HARDER THAN IT IS (by Kenneth Lee).
Ok, will have a read.
On another note, you often see S&R lines retested after breakouts.
What economic reason causes this? Is it a take profit moment after the breakout and people selling or vice versa?
…First, if prices break a resistance line is because thera are more buyers than sellers in the market. There is more demand than suply, that is why prices move up
why do prices retest the line? Because is a fight between demand and supply. The line is broken but there are still some sellers in the market. Once the selling orders run out, you only have buying orders, and the prices go up in a rally
Often you get break, retest, bounce, retest, break back down, break up again. If it just bounced and went on it’s be easy 
GBPUSD:
…that�s what i mean: buyers and sellers are moving prices in both directions (up and down, up and down). Sooner or later, the buying orders or the selling orders will run out…and the prices will go somewhere