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View Full Version : Key ingredients to trade the support and resistance level trading



sandysr
10-17-2017, 11:00 AM
When you are trading Forex you will have to come across the ups and downs. The Forex market may move sideways or even it may consolidate. The Forex traders should be able to trade any kind of markets if you consider the Australian traders they are capable of trading any kind of market. The best ways to learn the market movements are through the price action and support and resistance levels. If you consider the Australian traders they trade the market through these methods so they have become successful in trading Forex. If you want to become as successful as the Australian traders you should make sure to follow their pathway. Through resistance and support levels you will be able to build a successful framework. If you consider the price action traders they know to place profits targets and stop losses based on the support and resistance levels. If you want to become successful in the market you should learn it perfectly. Let us read the article to learn more.

The price action
Are you well aware of the price action? You should learn details regarding the price action properly as it will support you trade the market in the best way. You should learn to draw the support and resistance levels so you will be able to find the profitable trades using it. You will be able to find the range-bound markets, risks, trends and more. Bear in mind that it is important to trade the market using the price action as it is the most accurate indicator.

Risk management
In Forex trading (https://www.home.saxo/en-au/products/forex) risk management is the main focus you should manage the risks to remain in the market for the long term. You can buy or sell at swing points even if it is not trending. When the trader manages the risks he or she will be able to trade the market even if it is consolidated. You should be experienced enough to trade even if the market is not trending. You will be able to find the next best trade through swing high or low. As naïve traders, you should make sure to manage the risks perfectly.

Traditional swings
What are the essential support and resistance levels? The traditional swings are the important levels in trading. These levels should be zoomed from the time frames you will be able to do it on the weekly or monthly charts. Through this you will be able to view the whole market and the turning points will also be found easily. You should learn the support and resistance levels when studying the charts and it is the main factor as well.

Dynamic levels
You should learn about the dynamic levels. What are dynamic levels? The moving levels or the moving averages called the dynamic levels. The prices will decide the dynamic levels so you have to keep an eye on the price movements. You should learn to become a profitable Forex trader.

Many novice traders often ignores the importance of support and resistance level in the market. They always want to make things complicated to boost their trading performance. But do you really think that you can improve your winning edge by following a complex trading system? The professional traders at Saxo believe in simplicity. They know that they can make a huge amount of profit simply by trading the key support and resistance level.

When you trade the key support and resistance level make sure that you use the higher time frame. It’s not like that you won’t be able to make a profit using the lower time frame but in that case, you will have a deal with lots of false spikes. So in order to reduce your risk exposure, it’s better to stick to the higher time frame data. If possible use the price action trading signal to place your trade.

Sininfinity
11-02-2017, 05:12 AM
Well I use support and resistance in my analysis. And check them on several time frames but usually give most importance to 1 hour chart because of my trading style. Different people have different ways to trade so some may use lower time frames and some may use higher time frames.

Andy Jones
05-01-2018, 06:17 AM
Thanks for sharing your views and it will help the traders to get an overview of the forex market and conduct their trading with good support and confrontation. However, we all traders are in a great confusion how we can manage funds, time and risk in a combination so that we can ensure a comfortable trading journey. And it is highly important for the traders to trade according to their trading strategies.

Layla Browning
05-29-2023, 05:19 PM
You have to run technical analysis on the market to identify the support and resistance level of the market. Forex trading is full of benefits as it allows you with a large amount of profit earning opportunity. But in all cases, traders should avoid taking high risk. Eurotrader provides flexible leverage, narrow trading spread and flexible margin to keep traders apart from risks.

Rose Fraise
07-24-2023, 05:19 PM
Make your portfolio established by trading fiats, indices and cryptos whatever you want. Many traders are relying on crypto investment besides forex trading. To gain profit from crypto, traders have to be tricky and hold a trade for a long time. FXOpulence allows withdrawing and depositing in crypto.