Every one of us may see a pattern in every chart thats why we need to practice to identify support and resistance. The key is by changing time frame from 1week to 1 day, 4 hours and 1 hour . It is important that you could see on your naked eye certain bounce of the price. and as you look back you could see another bounce back of price. From there you could connect a line with it. By practicing to see the obvious on chart, there you could forecast possible direction.
(dont worry if you dont figure it out yet, like me i could not identify this connecting lines when i first started)
On the video below is a detail example in forecasting possible direction and identify number of pips you could get.
To know Direction I use diagonal support and resistance
To identify possible change of direction i use horizontal support and resistance confirm by pivot
To know number of pips again i use Horizontal Support and resistance
To identify stop loss i look on previous high or previous Low
To identify specific Take profit I use Fibonacci or Pivot
I cant tell you how you must trade, however i can give you guide thats based on my personality how i identify profitable trade. on the video below is the best example on what i am talking about
Remember trade plan is to prepare yourself to trade but to take a trade and identify specific point of entry is in another video. Below video is more in charting, to create guide for you. It is important to create trade plan before you make a move to trade.
No comments:
Post a Comment