I'm continuing to deliver on my promise of trading education… and in this installment we'll be discussing Support and Resistance.
I'm going to take you through how Support and Resistance factors into price behavior during trends and sideways consolidations, an integral component of the trader's toolbox and crucial for manual trading.
Support and resistance can be used either as a break-out or a fading technique, depending on how many times the market tests a particular area and whether or not price is ready to find a new trading range.
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