Support and Resistance Lines

Support and Resistance Lines can be both horizontal and sioping.

Resistance Lines are drawn through previous pivot highs. Resistance acts like a ceiling. Depending on its strength, a resistance line can pause an up trend and when very strong can reverse an up trend. Is strength is determined by the length of time it serves as resistance and the number of times it has been touched by price. The longer the period of time the greater the strength of the line. Some traders will sell at resistance lines.

Support Lines act like a f oor and are price areas where a currency pair f nds it difficult to penetrate below the Support Line. Support lines are drawn through a previous set of lows and can either pause a downtrend or reverse it depending on the strength of the Support Line. Some traders buy at Support Lines. All Traders see the same thing.

Do not BUY dose to RESISTANCE LINES Do not SELL cose to SUPPORT LINES

as there is a good chance there will be a reversal

Support Line

Resistance Line

Resistance Line

Support Line

Support Line changes to a Resistance Line

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