tutorial analyze the market with support and resistance (SND), Technique is pretty easy but can achieve big advantage if we understand

in #utopian-io7 years ago (edited)

TECHNICAL SNR
TECHNICAL ANALYSIS is a framework where traders review price movements. This theory is that one can see the history of price movements and determine the current state of movement of the trade as well as the potential of price movements. By using technical analysis if we open a history book or look at past history. In the forex market movement, history will surely recur. For example, we have found high points and low points. So there or at the top we will make a line of resistance and while the low point we make a support line like the diagram below.
image.png
In circles from No.1 to No.6, that is the high point and low point or also known where the price makes the U-turn, then that's where the lines create resistance lines and support. After the sixth round, the price accelerates up to touch SNR (support and resistance) at circle No.2 and then continues to plummet. This is where the analysts will look out for opportunities to open positions either buy or sell. In the trading world, when one says technical analysis. The first thing imaginable is the chart on MT4. Analysts can look at past data to help trace trend and price patterns and signal signals before starting trade.

  1. Support and Resistance (SNR) can be said to be an easy concept.But it is very powerful !! . Without the help of other indicator indicators, the Support and Resistance (SNR) alone is enough to give you a very profitable profit !!
    image.png
    Support may actually be like a floor, while Resistance can be likened to a roof. When the price is in UPTREND condition the price will climb to the highest peak of current price. Once it reaches the peak, the price will drop for a while. This phenomenon is called Retracement, where the price will be down the road before connecting the climb. The highest price peak before the price dropped was named Resistance @ Roof, while the point where the price began to make u-turn to connect the climb was that it was Support @ Floor. \

When the price connects the person and passes the resistance point 1 before this phenomenon is called the breakout. When the breakout price is successful, the price hubs will continue to connect to its recovery until it renders the highest price peaks @ Resistance 2, before a momentous retreat to the point of resitance 1 to form support, this phenomenon named Resistance Become Support (RBS). To facilitate understanding please refer to the diagram below:
image.png
Example. You are on the 1st floor of the building, you want to go to the 5th floor of the building. You have to level 2 building first, now your roof level 1 has been your 2nd floor, This phenomenon is called Resistance Become Support (RBS). Now you how does the price work go up and down?

For the downtrend condition the same thing. You are at the 5th floor of the building. You want to get down to the 1st floor of the building, you must go down to the 4th level. Your first floor on the 5th floor has become a roof while the 4th floor is now your floor. this is called Support Become Resistance (SBR).

image.png
You must keep in mind that prices are always up and down to find the Support and Resisttance points (SNR). When prices break out, it is likely that the price will continue to increase or decrease. Once the price breaks (Breakout) drastically up or down, prices will return to RBS (Uptrend) and SBR (Downtrend) lines. BUY @
image.png
EXAMPLE OF SUPPORT & RESISTANCE (SNR)
image.png

image.png
The above figure shows the point where you want to recognize the Support & Resistance (SNR). The yellow arrow I mark is the point where Resistance is. While the Red Arrow is also the point where the Support is. It may help you identify the SNR more clearly.

Now you've made it to the long-awaited topic of TECHNICAL SNR. I love you! .



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It's amazing you and very smart,

Are you very experienced about this?

May I learn this knowledge about with you @ zulfikar

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