Support And Resistance
“Keeping it simple is the key to making money”
Support and resistance areas are levels where price is likely to find either support or resistance. In very simple terms, they are areas in which price could reverse direction. The technique of identifying and trading support and resistance is incredibly easy as you will see later.
There are two ways to visualise this, the oldest being support and resistance levels and the newest being support and resistance areas. I personally use the “areas” to find the potential reversal zones however we are going to start with the “levels” method to understand why we do not use it.