Support and Resistance Trading Strategy?

Beginner Questions
1

How can i master trading S/R ? :rolleyes:

2

Find the right formula, then trade the lines… limits both sides of mother bar nearest the S or R. Tight stops and 30% TP of last trend…

*shrugs

And thats just 3% of the trade, the rest is in the mind.:eek:

3

I always sell at resistance and buy on support. It’s the easiest way to make money.

4

I sell at support and buy at resistance … Highs make higher highs and lows make lower lows… Turtle anyone???

5

Ask five traders and you will get 17 contradictory answers. The most common method I am aware of is identifying recent swing highs and lows and using them as support and resistance. Another common method is to identify areas where price has consolidated in the past and use these narrow areas as S/R zones. You can also use artificial S/R lines such as pivot points, murray math lines, fibonacci levels, or as Shaun alluded to, Donchian Channels. There are many others.

You can also just draw random lines across your chart and play the price action reactions to these levels, treating them as S/R lines.

YouTube and FXStreet have what seems to be million videos on identifying S/R and how to trade these lines or zones. The hardest part of S/R is no two traders use the same S/R levels or trade them the same way.

When it comes to S/R trading, you will have to be the master of your own destiny.

6

Thanks alot guys … good ideas … but about what you have said john (five traders will get 17 contradictory answers) … based on what … and isnt S/R the same … who ever sees a chart we will all have same S/R … if not how many method are there to get the right S/R … Thank you

7

well thanks MoneyNVRsleeps but how can i find the right formula -thats the question-

8

Here’s a simple example I did just the other day, if you’re patient enough, you’ll a get few big winning trades, that’s all you need to do.

9

need explain more purplepatchforex. I wanna learn more too on SR lvl. As newbie, if u explain like this, my head gonna bleed u know -__-

10

Thank you purple … you never stop posting great ideas :35:

11

Look at where are the major support and resistance level are, if you zoom out, to a higher timeframe you will easily see that the 1.2900 is a major long term support resistance area, look out for areas around the big number, especially on the EURUSD. Zoom into smaller timeframes for the same pattern for entries into parts of the move, using the pattern I’ve highlighted develop and trade it, that’s quite a simplistic, but if it’s not clear keep asking.

12

Great example Purplepatch… I like it!

I posted this from the other thread but I thought I would add it below…

How to Identify Key Levels (via ICT):

a.) Identify Monthly - Weekly- Daily
b.) Look for converging Old High and Low
c.) The higher the time frame the better
d.) Focus on Daily for consistent set ups.

Look for Round Numbers to find the Support and Resistance such as:

[B]00[/B] exp. 1.30[B]00[/B]
[B]80[/B] exp. 1.29[B]80[/B]
[B]50[/B] exp. 1.29[B]50[/B]
[B]20[/B] exp. 1.29[B]20[/B]
[B]00[/B] exp. 1.29[B]00[/B]

These are the base line. As you might notice, S&R rarely hit the round numbers but at least you know where/what to look for. Eventually, you will find the closest number where the S&R will be from the previous high/low.