Importance Of Support And Resistance In Trading BOOM And CRASH | Binary.com
hello guys i welcome you all to today's video it's another beautiful week moment with us here at correct digital cache and if you're new on this platform this is a platform which i used to share with you my ideas on how you can make some money for yourself online okay most especially within the forex nature key in today's video we'll be checking out in the importance of support and resistance level in trading boom and crash okay the importance of support and resistance levels in trading boom and crash okay you need to know how important they are in order to make this assets successfully then you need to know the functions of all i mean of these two um tools okay in order to trade these assets successfully so once you understand the effect of the support and resistance levels then you will know what to do whenever um you are around the support and resistance level and how to use them to take advantage of the market okay but before we go fully into that guys look before we go fully into that in case you are just joining us for the first time i welcome you all to cora deleted cash there is a platform like i said it's a platform for training you on how to trade forex um assets successfully and make some money with it and of course i thank you guys for supporting me all these wise and i also thank you for taking advantage of the 500 dollar trading tips for trading women cry that usually come up later on in the day okay so um don't do not forget to join us again today um whenever we'll be doing that live and direct so that we can build the market successfully but of course um if you are joining us for the first time um like i said it's a forex not channel you can take your time to browse through the channel watch some of my video clips and make sure um you understand practice and perfect your skills first on your demo account before you try them out on your real account okay um they are all training videos that can get you started immediately if you love them can you give 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understand what we are all into okay we are discussing about the support and the resistance levels okay the support and the resistance levels these two um particular i'm going to call them a trading tools okay um they are very very important whenever you are trading of course um let me do it this way let me do it this way um let me change this to um resistance because resistance is always at the top in most cases and um um this should be support sorry this should be supports okay so the resistance and the support levels okay so um the first thing you need to know is that um the boundary um these two levels are the boundary outreach um the price action usually reverse in most cases okay they serve as a kind of boundary uh whenever a price action is going towards a direction okay so you always find the resistance level at the top yeah while the support level is at the base in most cases okay so when the price action is actually going up okay uh in most cases you notice that it finds it difficult to break out from a certain region and it's actually um creates a kind of multiple points i mean more than a single point on a certain region and those areas are called i mean that particular place is called the resistance level and the same thing is applicable for a support okay once it gets to a certain region you see it trying to make several attempts on that region that section is called the supports region okay all these tools are very very i mean this um these two particular assets i mean our trading tools are very very important okay because um they helps us to know what is happening around there okay the helps us to know what is happening around it then another beautiful thing you need to know about the resistance level is in most cases um a major resistance level if a price action is starting up from there it usually tells us it helps us to know that our a new trend is about to stand from there you can easily use it to know if a trend is starting from there so from a resistance level and if a price action is going below a resistance level then it shows that a downtrend is starting but if a price action is going above this support level it shows that um a an uptrend is starting but if there is a breakout in price action from the resistance level that is it broke up above it it shows that the uptrend is starting or there is a breakout in that region okay so which means this supports level i mean this resistance that will be turned into a support level at that particular point the same thing is applicable to the support region okay uh once there is a breakout below the support region then there is a it shows that there is a breakout and it will continue with the downtrend at least to some extent and this support region will now turn into a resistance region okay that is very very important for you to know once you know all these then you will be able to milk the market successfully okay guys i'll continue right here then there is another thing i want you to know quickly there is another thing i want you to know quickly okay um once a price action um like i have explained any price action that starts from the support level usually indicate that um the trend is changing in most cases okay not all the time there can be a pullback okay in most cases and most especially from a major support or resistance level the trend is changing okay so let's say the price action is actually going up okay it has been going up and it goes to this let's say it gets to this resistance level the first thing that should come to your mind is that there can be a pullback or a reversal in price action okay so you should stay away from the market it can serve as an exit point for you because out there can be a pullback so once it is approaching it stay away from the market because um it is most likely that we have pullback except if there is a breakout so once you are out of the market and it pulls back you won't be affected at that point but if it breaks out from there then you can come in around here and trade the breakout okay the same thing will happen with a support region okay with a support region let's say the price action is has been coming down and it is now approaching this support region the first thing that should come to your mind is you exiting the market around here okay exit the market around there because you came in right here this is your entry point so you should exit the market around here because out it is most likely without pullbacks are playing around there or a total reversal in price action and if you are not very careful you end up losing your profit and sometimes you lose your capital again okay but if it breaks out above the support level damage this has been turned into a resistance level so you can come in somewhere and trade the breakout in order for you to milk the market successfully so guys we will be going straight into the chat right now to check out it i mean all to check out everything that i have explained on the board in practica um i mean to practicalize them on the charts right now we'll be practicalizing them on the charts right now okay so this is the chart uh right here i'm having the qdc scripter indicator on the chart and it is going to show me my support it is also going to show me how my entry point exit point then of course it's also going to show me the trend because the trend is also very important even though we are not talking saying anything about the trend today okay so let's check them out okay right here is a major resistance level okay you can see it uh when the price action goes to this resistance level you see it's coming down okay this is a support region and you can know that drawing a line you can see it's it is a support region that is why um the price action are bouncing on eights okay they are bouncing back on it it is a support region so you can easily identify that okay so check it check this out um this got to this resistance level came down to the support region went back up to form another resistance level here came down here to sim support region went back up came down to this support three germany region again went back up you can see that at every point at every support and resistance level there is always a pullback okay there is always a pullback but check out here our year is a resistance rate resistance region but you can see that um when the price action got there this time around it's broke out from there and to form another resistance region at the top here the same thing happened right here okay here is a support region and it's been a support region for some time but one when the price action goes to this level at this particular point you can see that it broke out from here to form um another support region below here and it went back up and break out that resistance there because it has found it has turned out to be a resistance level again and it went straight to this level so all these are very very important check out what is happening here here is a resistance zone okay but the price action has got in there and it is trying to break out from there okay so i'll try to show you the breakouts and also when there is the pullback and also when there is a total reversal in price action check out here here is a support region okay on the price action got here it was unable to break it went back up that's the pullback it went back down again to that same support level but still was unable to break it and it went back up again this time around it led into an uptrend like i used to tell you okay it can i'll lead into a new trend or to continue the previous trend i was going okay this is to continue the previous train that the market was before out it's it's pulled back okay so that is it you can see it is trying to break out from this resistance zone this time around okay so that is what we call the resistance i mean breakout from the resistance region so once it breaks out from there then definitely now that will return into a support region and that is why you notice that some indicators okay um i can also use this indicator as an example okay once it is broken once it breaks out from this resistance region this can actually be erased the resistance bar can actually be erased because it has broken it already it has been broken already is not that the indicator is not perfect or it's not that the indicator is not doing its job of course you can see that it has obeyed that resistance level around here before so definitely is expecting it to obey it again around here normally if you are doing your technical analysis you will be able to spot that out does that mean your analysis is wrong if you actually spot that out no you cannot um you you cannot control the forces that is affecting the market on hundred percent okay this time around it has broken it out there is nothing you can do about it so it's no longer a resistance level to turn to a support level so if it's erased that's resistance but then there is a reason for raising it for erasing it or for deleting it okay then the reason is that it has been broken i mean it has been broken already okay so let's check out other assets to see what we've got right there you can see this is a major support level you can see the price action started from here and you can see how far it went okay even though there are pullbacks in between to form another our support region but it still went up to end the resistance i mean to end um the trend right here on this resistance level okay so it has ended the trend the uptrend right here on this resistance level so it is starting a new downtrend at this particular point so your support and resistance level are very very important let me quickly go to the jumbo another importance of this support and resistance levels are up that is where we usually have spikes happening okay let me quickly um explain that okay um let me see if i can okay let me just play this okay that is where we usually have our spikes are playing okay if you have been thinking how how do we avoid spikes and all these then it is by you i mean it is by knowing your support and resistance levels okay your support and resistance levels so once you know this you will be able to avoid spikes successfully okay you will be able to avoid spikes successfully for boom okay your resistance level i mean for boom your support level is very very important if the price action if boom is selling and it's selling suddenly once it gets to out the support region okay it's not until it's touch a certain point there should be a region for it once it gets there then you should expect a sudden spike to happen okay you should in most cases you should expect a sorting spike to happen for crash it should be at the resistance region when the price action is going up like this once it is approaching the resistance region then you should expect a sorting um crash down in the market okay a suddenly crash down in the market that is the way it works once you are able to identify these two areas then definitely you can milk the market successfully and um if you should notice that for um for spikes trading or how to avoid spikes okay i'll like i said it is it's usually happen between the support and resistance region but um it happens more when they are in the right train okay that is why you need to watch some of my videos to understand how to trade all these assets okay especially if you want to focus on the spikes trading area you need to watch my videos on them okay the trend is very very important in order for you to do this for boom it is when the market is in uptrend okay when the market is an uptrend for crash it is when the market is in downtrend okay so um during these periods we have more spikes happening around those regions i mean those i mean we have more spikes happening in all these assets whenever um they are in this particular trend okay there are going to be more spikes happening around the trend i mean within the period okay within the period once they are in the right trend okay compared to when they are in the wrong trend okay when they are in the wrong trend of course the support that the the support and resistance level might not be 100 perfect at that particular point because i'll there will be some breakout in between this region okay so that is very very important that is very very important so once you understand this then you will be able to milk the market successfully so guys i will be stopping right here i believe you've learned a lot today i just said i should bring this to your notice so that um you guys will understand the market and what is happening within the markets okay so next time when you see um an indicator indicating something and all of a sudden that particular stuff is removed it does not mean the indicator is not cool or is not good at what it is doing but it is it might be because a certain support or resistance level has been broken okay once it's broken there is nothing you can do if you turn yourself i mean if you try to use your own technical analysis without i mean technical knowledge in without the indicator definitely does that mean what you know is no longer working for you again okay so that is what you are trying to say with the indicator it is the market forces that removed it okay this is the market forces or the forces behind the market that removed it that is just it so i want you to watch this video to understand everything that i have explained in this video and make sure you practice and perfect your skill first on your demo account before trying them on your real account so i'll be stopping right here in case you have any questions feel free to contact my contact details are displayed on the screen and i'll be dropping them in the description box below this video if you are yet to subscribe to this channel kindly do so now and turn on the notification bell to all notification that way you will always be notified whenever i upload a training video like this thank you and god bless you
2021-08-31 06:35
