Hello everyone, and welcome back to my blog!
I'm personally learning how to trade, and though that I would share my journey here on LeoFinance.
The first thing I did was log on to tradingview and change out the background to black. It makes everything look much cleaner.
Today, I will be discussing support and resistance, the first thing I learnt today.
Support is a zone or region where price begins to move up.
In the image above, there are certain zones of support there. They're very clear and visible, and most people use lines or boxes to designate these areas.
Resistance is the exact opposite and is a region or zone where price begins to go down or plummet. Again, most people use lines or boxes to designate these areas.
A simple strategy is to buy where there is support and sell where there is resistance. However, if price falls from support, you use a stop loss to ensure you don't lose too much.
There's also the concept of shorting, but it's way too complex for me for now. I will stick to buying :)
I hope you enjoyed this short article and learnt something. As i learn more, these posts will become longer and more detailed.
Thanks for reading!
Posted Using LeoFinance Beta