How to draw The Support and Resistance Easily! ;)

One way to help you find these zones is to plot support and resistance on a line chart rather than a candlestick chart. The reason is that line charts only show you the closing price while candlesticks add the extreme highs and lows (Shadows) to the picture.
When plotting support and resistance, you don’t want the reflexes of the market. You only want to plot its intentional movements.
Looking at the line chart, you want to plot your support and resistance lines around areas where you can see the price forming several peaks or valleys.

draw resistance and support

Tips about Support and resistance:
§  When the price passes through resistance, that resistance could potentially become support.
The more often price tests a level of resistance or support without breaking it,
§  the stronger the area of resistance or support is.
§  When a support or resistance level breaks, the strength of the follow-through move depends on how strongly the broken support or resistance had been holding.
§  Each 2 candles of different colors/colors is considered as a reversal ( an attempt )
§  Each single candle with shadow touching the same level is considered as an attempt
§  If the trend is going up then trade on the support
§  If the trend is going down then trade on the resistance
§  Support and resistance never are in a horizontal line it can be in sideway
§  Only take the first or second attempt of the support or resistance but you can actually take the 4th or 5th attempt of the support if it is an uptrend / you can also take the 4th or 5th attempt of the resistance if it is a downtrend but you can’t expect it to keep going up or down so be careful!
support and resistance

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