Can you tell from the chart what the main 3 supports are? :)
A- Horizontal lines.
The price has a tendency to react to these lines... Every one knows about horizontal lines of support and resistance.
These horizontal supports and resistances have to be drawn on swings high/low. Wicks or closes can be used...
Here are a few examples:
B- Diagonal lines
Another type of support, alot of people do not like this because they don't understand it "Uuuh trendlines are a scam when I hit my head on a wall then buy on the line for no reason other than the line I don't make money".
Very good like horizontal levels. Wicks or closes can be used...
Here are a few examples:
C- 0.618
An important one, I think especially with currencies but I am not sure about that.
Drawn from swing low to swing high. Alot of people look at it and think it matters, hence it does.
Here are a few examples:
D- Other
Those were the big 3. Horizontal lines, Diagonal lines, 0.618. I only like the 3 and ignore the rest.
Other elements can be used, such as moving averages, psychological round numbers, and I don't know what else that's it I would say.
Here are a few examples:
These are the basics that every one should know, but very few actually do. And they go risk 10% per trade not even knowing this lol. Good luck being in the 9%.
Of course, there is more to it than this, these levels can be relevant or not, drawing lines (a & b and even C sometimes) is more a skill than an "exact science" you can just automate. How to look at the correct supports and ignore the bad ones? What conditions to enter? Where to enter and stop loss and target? How to draw them correctly each time? This is for me to know and you to find out :)
A- Horizontal lines.
The price has a tendency to react to these lines... Every one knows about horizontal lines of support and resistance.
These horizontal supports and resistances have to be drawn on swings high/low. Wicks or closes can be used...
Here are a few examples:
B- Diagonal lines
Another type of support, alot of people do not like this because they don't understand it "Uuuh trendlines are a scam when I hit my head on a wall then buy on the line for no reason other than the line I don't make money".
Very good like horizontal levels. Wicks or closes can be used...
Here are a few examples:
C- 0.618
An important one, I think especially with currencies but I am not sure about that.
Drawn from swing low to swing high. Alot of people look at it and think it matters, hence it does.
Here are a few examples:
D- Other
Those were the big 3. Horizontal lines, Diagonal lines, 0.618. I only like the 3 and ignore the rest.
Other elements can be used, such as moving averages, psychological round numbers, and I don't know what else that's it I would say.
Here are a few examples:
These are the basics that every one should know, but very few actually do. And they go risk 10% per trade not even knowing this lol. Good luck being in the 9%.
Of course, there is more to it than this, these levels can be relevant or not, drawing lines (a & b and even C sometimes) is more a skill than an "exact science" you can just automate. How to look at the correct supports and ignore the bad ones? What conditions to enter? Where to enter and stop loss and target? How to draw them correctly each time? This is for me to know and you to find out :)