📉 Support – What is resistance? Knowing this helps avoid buying at the peak!
Many people often ask:
“Why did the price drop right after I bought?”
👉 Because you are buying right at the resistance zone.
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💡 Support – What is resistance?
🔹 Support
→ The price level where, upon reaching, the price tends to bounce back up
👉 You might consider buying
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🔹 Resistance
→ The price level where, upon reaching, the price tends to get pushed down
👉 Consider taking profit or selling
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📊 A simple view for beginners:
- Review the price zones where the price reversed many times before
- The more times tested → the stronger that area becomes
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⚠️ Common mistake:
- See the price increase sharply → rush to buy immediately at resistance
- See the price decrease sharply → sell immediately at support
👉 This is the reason for easily being 'buy high – sell low'
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✅ Easy to remember principle:
- Near support → prioritize Buy
- Near resistance → prioritize Sell
- In the middle → stay out
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💡 Tip:
No need to draw too many lines
→ Just identify 2–3 important areas is enough
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