I never believed in support/resistance
Until I realized this ONE easy fix that made it profitable for me
Now it's the main strategy I use to trade full-time: π§΅
(Full Strategy Breakdown)
Until I realized this ONE easy fix that made it profitable for me
Now it's the main strategy I use to trade full-time: π§΅
(Full Strategy Breakdown)
Take a look at this $BA chart
You can see there's a few support and resistance lines
Here's the issue with S/R ππ»
You can see there's a few support and resistance lines
Here's the issue with S/R ππ»
There's simply no LOGICAL place to put a stop loss
If I were to get in short here, where do I put my stop?
Price would have taken my stop then gone in the right direction
If I were to get in short here, where do I put my stop?
Price would have taken my stop then gone in the right direction
This happens a lot because it's MEANT to happen
Markets are always going for new lows and new highs
That's where liquidity is so it makes sense
Markets are always going for new lows and new highs
That's where liquidity is so it makes sense
So it makes sense why classic support/resistance doesn't work
Price will always go a little above/below the levels, making it tough to have logical stops
But there's a way to make support/resistance actually work...
Price will always go a little above/below the levels, making it tough to have logical stops
But there's a way to make support/resistance actually work...
What I do is find a very easy to spot support/resistance zone
(will show you at end of thread how to find them)
Then plot out the most recent highs or lows as levels
Here's $BA for example
(will show you at end of thread how to find them)
Then plot out the most recent highs or lows as levels
Here's $BA for example
Next I'll WAIT for price to stop hunt the level first
This is KEY because I'm letting price give me a logical stop loss first
Instead of jumping right in and "guessing" that S/R will hold
This is KEY because I'm letting price give me a logical stop loss first
Instead of jumping right in and "guessing" that S/R will hold
Then I'll wait for price to come back below the resistance level
This confirms the stop hunt and shows that price may want to go back to support
This confirms the stop hunt and shows that price may want to go back to support
This sets up the trade perfectly because now we have a defined stop
We can get in when price accepts back below resistance
With a stop above the high that was just put in
Then target support
We can get in when price accepts back below resistance
With a stop above the high that was just put in
Then target support
You can see it works well the other way as well
Price stop hunted support then went back to resistance
Remember, price always goes to new lows and new highs
Price stop hunted support then went back to resistance
Remember, price always goes to new lows and new highs
This strategy is best when combined with other confluences
Like market structure, volume, other indicators, etc.
So if you want to learn about those (and how to find these setups)...ππ»
Like market structure, volume, other indicators, etc.
So if you want to learn about those (and how to find these setups)...ππ»
I made a FREE discord with 5+ courses going in-depth on:
- Stock Scanning To Find A+ Setups
- Supply/Demand
- Market Structure
- Market Profile
Get Access now for FREE before I make it paid at 5k members ππ»
discord.gg
- Stock Scanning To Find A+ Setups
- Supply/Demand
- Market Structure
- Market Profile
Get Access now for FREE before I make it paid at 5k members ππ»
discord.gg
Just Dropped "The Vault"
Unreleased courses, PDFs, and knowledge I've learned over the past 6 years as a trader
Making it paid soon so join now while it's freeππ»
discord.gg
Unreleased courses, PDFs, and knowledge I've learned over the past 6 years as a trader
Making it paid soon so join now while it's freeππ»
discord.gg
Loading suggestions...