All done ✅ Let's clarify how to use wicks in determining support and resistance practically:
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📍 1. Lower wick = Support area
When you see many lower wicks at a certain price level:
👉 This means that every time the price drops to that area, buyers come in and prevent it from dropping further.
Example:
If many candles form lower wicks at 200$ for SOL → this level is considered strong support.
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📍 2. Upper wick = Resistance area
When you see many upper wicks at a certain price level:
👉 This means that every time the price reaches that spot, sellers come in and prevent it from rising further.
Example:
If many candles form upper wicks at 214$ → this level is considered strong resistance.
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📊 How do we benefit from them?
Buying near support: When you see repeated lower wicks at a certain level (indicating that buyers are defending the area).
Selling near resistance: When you see repeated upper wicks at a certain level (indicating that sellers are in control there).
Breaking support or resistance:
If the price breaks the wick area and rises above it or falls below it with high trading volume → a new strong trend usually begins.
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⚡ Practical example on SOL (from the image you sent):
Lower wicks appeared at 200$ → Support.
Repeated upper wicks at 209–214$ → Resistance.
👉 If SOL manages to break 214$ and holds above it → we might see a strong rise.
👉 If it fails and drops back below 200$ → the likelihood of a drop again.
