Support is a price area where buying has repeatedly overwhelmed selling; resistance is the opposite. These are zones, not thin lines.
The more times a level is tested and respected, the more it matters. A broken level often flips role: support becomes resistance and vice versa.
Enter at reaction, not at random. Waiting for the market to confirm a level lowers your risk.
Place stops beyond the level, not on it, so normal noise does not stop you out.
Takeaways
- Support and resistance are zones where price repeatedly reacts.
- The more a level is respected, the more it matters; broken levels often flip roles.
- Enter on reaction, not at random, and place stops beyond the level.
Self-check
What happens to a broken support level often?
It can flip and act as resistance.
Trading involves risk. Educational only, not advice. Mark it complete to bank progress.