📘 Lesson Two: Support and Resistance - Trading Map
Do you want to avoid buying at the peak or selling at the bottom? Then, you need to understand support and resistance - two of the strongest trading tools.
🔹 Support: A price level at which the asset tends to stop falling. This is where buyers intervene.
🔹 Resistance: A price level at which the asset tends to stop rising. This is where sellers intervene.
🧠 Their Importance:
These levels act like walls. Prices often bounce off them, and if they are broken, their direction reverses (support turns to resistance and vice versa).
📊 How to Find Them:
✅ Look for repeated bounce points on the chart.
✅ Use horizontal lines at major peaks/troughs.
✅ Combine them with indicators like the Relative Strength Index or Volume Indicator.
💡 "Respect support and resistance, and the market will respect your money."
See you in Lesson Three soon! 📈
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