power of support & resistance

My secret number 1 in trading is support and resistance. Most new traders tend to ignore the importance of support and resistance because they do not know that the wave like movement of the market is actually the creation of support and resistance.

When the price hits a major resistance for the first time, it will most probably moves down first due to the repulsion of that level. It will then attempt to break this resistance level again and once it manages to break through it, the old resistance level will now turns into a new support level.

You will find that the price will always comes back to test that new support level before it moves further up. Such action contributes to the formation of waves in your trading chart.

Therefore as a trader, you must be able to identify where the major supports and resistances are. With these level identified, you will then be able to know where to enter a trade, where to place your stop loss and where to place your target profit.

In this section of the book, I will teach you a few ways to identify strong level of support and resistance.

Yes forex market me support or resistance ko samjna bahut jaruri he.Isse ham patalaga sakte he ki market kahna move karega.

Fibonacci Indicator

The Fibonacci indicator is one that is commonly used by institutional traders and therefore the level of support and resistance created by this indicator is more significant.

The Fibonacci indicator consists of retracement and extension. All you need to do is to drag the indicator from the top to the bottom of the wave and you will be able to select which retracement and extension level you want to show.

From my trading experience, retracement level like the 0.382, 0.500 and the 0.618 have more power than the rest of the retracement levels. As for the extension, it depends on the retracement.

From my trading experience, retracement level like the 0.382, 0.500 and the 0.618 have more power than the rest of the retracement levels. As for the extension, it depends on the retracement.

If the price hits the 0.382 retracement level, the price will usually stop at the 1.272 extension level.

If the price hits the 0.500 or 0.618 retracement level, the price will usually be stopped by the 1.500 or 1.618 extension level.

supports and resistance ka trading field main major role hota hay and acha trader wo hay jo supports and resistances kay points ko note kary and in ko follow kar kay ap best entry point easy pick kar sakty hain

Asalam o alikum bhai ap ny bilkal tek kaha ha m ap sy agree krta hon k forex trading m support or resistance both importance rakhty han or jb k hum iny kuch ni samjty han trading m humy support or resistance khayal rakhna chae ha trading m

actually i think This is the real power of Forex trading. Sup resistance to price action. That is good. But I prefer dynamic Support/Resistance. Time, but it is not enough to repeat it a lot. One of the most powerful, dynamic-sub/lip-this tool is 1. It's much more intense price action. There are so many great shops, and we do it every day just at any time dynamic SUP/Res.