💡 Trading Idea: Range-Bound (Support & Resistance) Trading
This strategy is based on buying low and selling high inside a horizontal price range — perfect when the market isn’t trending but bouncing between two levels.
✅ Why Use It:
Works in quiet or stable markets (especially forex or crypto pairs)
Easy to spot on the chart
Helps you avoid false breakouts
📊 How It Works (Step-by-Step)
Identify a Range (Consolidation Zone)
Look for price bouncing between two clear horizontal levels
Example: Price moves between $1,000 and $1,100 multiple times
Draw support (bottom) and resistance (top) lines
Wait for Price to Approach a Level
Near support? → Prepare to buy
Near resistance? → Prepare to sell
Watch for Candlestick Rejection
Look for reversal candles like:
Doji
Pin bar
Bullish/bearish engulfing
These suggest the bounce is likely
Enter the Trade
Buy at or near support → target resistance
Sell at or near resistance → target support
Place stop-loss just beyond the range edge (not too tight)
Repeat Until Breakout
As long as the
Got it! Here's a different trading idea — one that works great for ranging (sideways) markets instead of trending ones.
💡 Trading Idea: Range-Bound (Support & Resistance) Trading
This strategy is based on buying low and selling high inside a horizontal price range — perfect when the market isn’t trending but bouncing between two levels.
✅ Why Use It:
Works in quiet or stable markets (especially forex or crypto pairs)
Easy to spot on the chart
Helps you avoid false breakouts
📊 How It Works (Step-by-Step)
Identify a Range (Consolidation Zone)
Look for price bouncing between two clear horizontal levels
Example: Price moves between $1,000 and $1,100 multiple times
Draw support (bottom) and resistance (top) lines
Wait for Price to Approach a Level
Near support? → Prepare to buy
Near resistance? → Prepare to sell
Watch for Candlestick Rejection
Look for reversal candles like:
Doji
Pin bar
Bullish/bearish engulfing
These suggest the bounce is likely
Enter the Trade
Buy at or near support → target resistance
Sell at or near resistance → target support
Place stop-loss just beyond the range edge (not too tight)
Repeat Until Breakout
As long as the range holds, you can keep trading inside it
But if a strong breakout happens, stop ranging and wait for a new setup
🧠 Pro Tip:
Add the Relative Strength Index (RSI):
RSI near 30 at support = good buy signal
RSI near 70 at resistance = good sell signal
🪙 Example (Crypto):
ETH is ranging between $2,800 and $3,200
Price bounces down to $2,820 → RSI = 33 → Pin bar forms → Buy
Exit at $3,180 → profit
Price rises back to $3,200 → RSI = 69 → Bearish engulfing → Sell
Exit at $2,850 → profit
$XRP $BTC #FOMCMeeting #BNBATH #BinanceHODLerTree #AirdropSafetyGuide #ETHReclaims3800
