forex support and resistance indicators
forex support and resistance indicators
First, the application principle of short-term support resistance:
- The average price is the amount of the transaction divided by the volume of the transaction, which is the average cost price of the buyer and the seller.
- If the intraday price falls below the short-term support price, the buyer’s momentum will be weaker. Most of the day will be closed down. The short-term should be sold less, or even more anti-empty; if the price is short-term support to the daily limit If there are no other large lines to support, there will even be a daily limit.
- If the short-term resistance price rises in the intraday trading, the buyer will be very strong. Most of the day will be closed with a gain, and the short-term should be able to buy at a price. (Same as above)
- If the intraday price falls below the support price (or rises over the resistance price), the price below (above) the price must be called as the standard.
- If the original purchase price is higher than the short-term support price, then the price of the currency will fall, but it will not be added to the low price in advance, but it can be bought at the short-term support price of the inner disk (buy the asking price), meaning The selling pressure is heavy and the price of the currency may fall.
- If the original selling price is lower than the short-term resistance price, then the price of the currency will rise, but it will not be sold at a high price beforehand, but it can be easily sold at a short-term resistance price of the selling price (selling the asking price), meaning Buying is extremely strong and the price of coins may rise.
- The principle of supporting resistance in the above-mentioned, because it is more suitable for short-term access, within five minutes after the opening, because the market is more unstable, it is best to wait and see.
Second, the short-term support resistance of trading opportunities:
- Add a price to buy before falling to the support price. In the intraday trading, when it falls to the short-term support price, it is in principle an ideal buying point. However, because the short-term support price may be the lowest price of the day, usually because the transaction volume is not much, it is not easy to buy, so we can buy at the previous price of the support price.
- When the price is below the support price, the second gear is sold, and the securities can be exchanged. In the intraday trading, if the price falls below the short-term support price, the buyer’s momentum is weak. The currency should be actively sold. Although the decline may have been large on the day, it can still be short.
- After falling below the support price, it will increase by more than the price and add a file to buy. After the intraday break below the support price, based on the principle that support becomes resistance, the original support price of the day should not be exceeded immediately on the same day. However, if the bulls break the support price and the bulls vigorously counterattack, and once again rise above the support price, the next price level that has risen above the support price should be replenished or bought.
4, before the resistance price is reduced by one file to sell. When it comes to short-term resistance, it is in principle an ideal selling point. However, because the short-term resistance price is likely to be the highest price of the day, it is usually not easy to sell because there are fewer transactions, so we can sell at the previous price of the resistance price.
5, after the resistance price increases, add two files to buy. When the intraday price rises, the increase may be high, but because the buyer’s momentum is still strong, it can still be bought at a price, but for insurance, it is necessary to buy when the resistance price is second.
- After the price has risen above the resistance price, it will be sold at a price lower than the price. After the resistance price has risen in the intraday, based on the principle of resistance to support, in theory, the original resistance price of the day should not fall easily, but considering the reasons for the market’s main speculative operation, it will fall back after breaking. It is a fake nature, the market price is in a short-term high, and the market should be short.