1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Chapter 8, Part V. Lines summary.

Discussion in 'Complete Trading Education- Forex Military School' started by Administrator, May 18, 2011.

Thread Status:
Not open for further replies.
  1. Administrator

    Administrator Just Administrator :-)

    Joined:
    Sep 24, 2007
    Messages:
    5,469
    Likes Received:
    410
    Part V. Lines summary [​IMG]
    Commander in Pips: We’ve learned the basics things about different types of lines. We even had advanced talks about them, and also we’ve investigated how lines could be traded in general. So I offer you to make some compact summary about all of this – just to put in order your knowledge.

    Pipruit: This is very good idea, because there was a lot of information in the current chapter, and it was very important, thank you.​

    Commander in Pips: So, let’s do this.

    [​IMG]
    Support & Resistance

    1. When the market reaches some level above it, that does not allow it to move higher, and turns to the downside – this particular level become a resistance. After a move lower, the market reaches some level below it that gives it support and turns from this level to upside move again. So, this level becomes a support. In fact, the market creates resistance and support levels over time during up moves and down move;

    2. Support and resistance are not precise numbers, they are more areas rather. And the larger your time frame, as wider this area is;

    3. It’s enough even single point to draw support or resistance line, but the more points are lay on the line - all the better. Support and resistance lines are horizontal. You may use a simple line chart built by close prices – to negate splashing among high or low prices and reduce noise in estimation support or resistance levels.
     
    #1 Administrator, May 18, 2011
    Lasted edited by : Feb 15, 2016
    Hamza Samiullah and fran alvarez like this.
Thread Status:
Not open for further replies.

Share This Page