Support

Pharaoh

Colonel
Messages
19,783
Support is a price level (often an area, not an EXACT price) that traders tend to buy at. This often prevents price from falling below this level, thus creating a "floor" below which the price has difficulty moving.

Note that support can be defined by a horizontal or slanted line. The more times price tests and fails to break through (or close beyond) support, the stronger the support level is considered to be.

See Resistance.
 
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