Education

in hive-103393 ā€¢Ā  3 years agoĀ 

šŸ“ˆšŸ“‰Trading levels are chart indications that reflect the demand and supply of market participants.

Support and resistance levels are very important in Forex trading. A trader should pay attention to them regardless of his trading strategy, be it Price Action or others.

Trading levels will help you improve your trading system. A level is not a straight line that accurately coincides with a specific price on the chart but an area that includes some prices around it.
A level is a place where the trend line breaks. There happens the 'struggle' between sellers and buyers. The outcome identifies if the price will continue its initial movement or turn around and go the other direction. Any previous peak or inclination is called support or resistance level.

šŸ“Therefore, a level is a point of a possible price reversal or, in other words, a place where traders' activity increases.

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