This week I decided to re-post a training I taught last year on support and resistance based on the order flow in the market. I have included a link to the video and a summary below:
What is Support and Resistance?
Most traders learn about S&R in their first few months of trading. So I am sure you know that support is a level below the current price that the market may struggle to break through before going lower.
Or the price may also bounce back up at this level. On the other side, above price, you have resistance levels where the market will struggle to break higher or bounce back from.
These levels are commonly derived from swing highs and lows. The problem however with using the swing high and low is that the price many times will test through these levels and then come back.
Why does this happen? The answer comes partly from what was taught last week – limit orders. I will be showing you how to spot these levels in the webinar by looking at market sentiment.