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How to trade based on support and resistance - doaausef3li - 08-10-2024
How to trade based on support and resistance
Most traders in the financial market rely on following support and resistance levels with the utmost precision to rely on them in their trading, for a very simple reason, which is that when prices tend to rebound upward from the support level, then the natural reaction is to look for reasons to buy, and these reasons are usually represented by the emergence of an upward pattern, such as the inverse head and shoulders pattern or the double or triple bottom pattern, or due to the emergence of an upward pattern from Japanese candlestick patterns, such as the hammer pattern.
طريقة حساب الدعم والمقاومة للاسهم
On the other hand, when prices tend to rebound downward from the resistance level, the natural reaction is to look for reasons to sell, and these reasons are represented in various sizes and shapes, including the emergence of the head and shoulders pattern or the double top pattern or the triple top, and other reasons for selling include the emergence of a bearish pattern from Japanese candlestick patterns, such as the shooting star pattern.