Support and resistance levels are some of the best levels of anticipation that any profitable price action trader could use to execute trades. I believe that most Forex traders are very much familiar with the concept that I will be sharing in this post and I also familiar that this will improve your trading skill.
Most of traders in the retail world are probably not familiar with support and resistance levels as they have been taught to rely on indicators either than raw price action in the charts and at the other hand we have fundamental analysts which focus very much on the news releases which I probably dont recommend traders to focus very much on as this type of trading is very much tricky because of the influence of the financial institutions.
Financial institutions and banks tend to manipulate the market in order to make traders lose a lot of money, most of this group members probably dont make it in the forex markets. The reason why the most traders dont make it after visiting these super hyped seminars is simply because they are not given the right education which will develop them into successful forex traders.
As professionals we use news releases to enter our positions and also to mark institutional order blocks which will either become a resistance or a support in future. No indicator can do this but the secret to noting this will be price action.
News releases are the core effect behind the support and resistance levels and you can use the previous news release price level to anticipate a new market support or resistance depending on the direction of the news release. If you are are a fundamental trader then this tip will work for you, just use any chart to test what you have learnt and you will be amazed. There is too much to learn to become a successful trader and having the best education then probably you will make it.
In my next article I will give you an indept knowledge about the formation of these levels as they play a huge role and I will give you a glimpse on how you can get the accurate maket turning points or price swings without using the previous news release level but knowing when the banks and the market makers will take their positions and on which direction will they trade the market. lets trade the market like professionals, wish you the best trading and stay in touch for more info or simply attend our Online Price Action Course and start making money as a trader and live your dreams by investing on a trusted forex education.