Support and resistance

Trading Discussion
1

what is the best way or methode to identify S&R I know what they mean but I cant identify them in chart please help

2

This is such a broad question honestly. Plus depending on your strategy there are multiple ways for you to to come up with S & R levels.

I’d refer you to check out : Forex Support and Resistance - BabyPips.com

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3

thank you alot

4

The link you were given before is the best starting place, but you can start practising S&R yourself simply by drawing lines on your own charts. Pick horizontal or diagonal lines (I’d start with horizontal) which connect between various points at which Price has interacted at around the same level. The more touches, the stronger the level. It can be a powerful tool but just take a lot of time throwing levels on your charts and seeing how Price interacts with them before you look to trade it.

5

I start with monthly charts and see where major turning point “areas”(not lines) have been and bring
the rectangle across the screen to the right. Then I go down to weekly and see where those “levels” are
and add/change based on the weekly chart. Then I go down to daily and fine tune the levels.
I’ve now got a couple area’s on my charts(I tend to monitor 2H charts) where I can expect price action
to exist between, shorting at top boxes/long at bottom boxes, with a clearly defined, relatively manageable
stop loss on the other side of the box if price doesn’t hold/reverse.

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6

This is similar to what I do. I’ll use different colored horizontal rectangles for a monthly weekly daily.

I look for areas of consolidation resulting in big candles moving away from that area as areas of supply and demand.

Interesting exercise is to drill down from your monthly to weekly to daily and then even to perhaps an hourly or 15 minutes to actually find the super sweet spot.

Another interesting exercise is to spin the chart back to say 2016 put on weekly or monthly and run horizontal lines as a ray from supply and demand areas as described above then scroll forward in 2017 and 2018 and to see how price reacted around those areas from 2 years ago. Sometimes you’ll find it shocking how predictive these areas can be.

KC

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7

that’s a great idea to color coordinate the different levels :ok_hand:t5:

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8

thank you all traders :blush:

9

trendlines are also extremely important as well,so whenever you see a diagonal trend ,mark that on the chart also! they help to identify entries, exits, and patternss

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