Must we need to remember that we only need one trait to qualify the level, but the more traits we can stack the better.
What traits & criteria does this level have?
#The extreme swing high & highest point price has reached in recent time.
#The level is obvious & it jumps right out at you.
#The move away was drastic and significant.
#Multiple rejections 3 rejections in total.
Whats traits and criteria does this level have?
#Multiple Rejections,6 rejections in total.
#Acted as both support and Resistance.
#The level was recently respected.
#The moves away were drastic and significant.
#The level is obvious & is very easy to spot.
What criteria & traits does this level have?
#Swing low and lowest price has reached.
#Multiple rejection 3 rejections in total.
#The move away was drastic and significant.
#Obvious and easy to spot right away when looking.
#Recently respected and valid in a current period.
You don’t enter trades blindly at support and resistance levels.
Always wait for specific price action patterns at S/R levels before considering a trade.
The more Traits a level has the better.
#Multiple Rejections 3 rejections in total.
#Acted as both support and Resistence(Turncoated Resistence).
#The move away was drastic and significant.
#Obvious and easy to spot right away when looking.
Facebook
Twitter
LinkedIn
Pinterest
One thought on “How to Draw Support and Resistance”