#加密圆桌讨论
Stock Price Behavior Analysis Course
Lesson 11: Behavioral Interpretation of Price at Support/Resistance Zones
Now that you know how to identify support and resistance zones, today we will learn about the behavior patterns of prices in these key areas to determine whether the next move will be a "Reversal" or a "Breakout".
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1. Characteristics of Reversal Behavior (Rejection)
When the price reaches a support/resistance zone but cannot break through, the following signals may appear:
• Long shadow candlestick: A long upper shadow in the resistance zone indicates strong selling pressure; a long lower shadow in the support zone indicates buying support.
• Decreased trading volume: Indicates lack of momentum and insufficient market driving force.
• Quick reversal: The price quickly turns back after touching, forming reversal patterns such as "V-shape" or "pin bar".
➡️ The appearance of these signs indicates that the key area has been "defended," and one can consider trading in the direction of the original trend.
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2. Characteristics of Breakout Behavior (Breakout)
If the price successfully breaks through support or resistance, the following phenomena are commonly observed:
• Strong candlestick passing through the key area, usually a long bullish or bearish candle.
• Increased trading volume at the time of breakout, indicating market consensus.
• A pullback test after the breakout, stabilizing again indicates an effective breakout.
➡️ The occurrence of these situations suggests that the trend is likely to continue, and one can look for opportunities to enter on the pullback.
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Grasping these behavioral details enables you to go beyond merely "drawing lines" and truly understand the power behind the lines.