Lowdown: Trading S&R

Yo, in the last sesh, we vibed on trading support and resistance.

Let’s do a quick recap of the tea we spilled.

When the price is all up up and away and then pulls a U-turn, the highest point before the U-turn is the new resistance.

And when the price's back on its grind, the lowest point reached before it heads north again is now the support.

Support and Resistance: The Zones Vibe

Keep it 100, support and resistance ain’t exact number game. Think of them as zones! 💁‍♂️

To dodge fakeouts, imagine support and resistance as vibes, not digits.

Pro tip: Find these zones using a line chart, not those candle charts.

How Support and Resistance Can Switch It Up

Remember, once the price vibes through resistance, that resistance might turn into the new support.

And yep, if support gets wrecked, it can switch its role to resistance. Plot twist, right?

We call this a “role reversal“, or, you know, a total makeover.

Slide with Trend Lines

Uptrend 101: Just draw a line under those iconic valleys, the support heroes.

And for a downtrend, map out the line above those majestic peaks of resistance.

We got three flavors of trends:

1. Uptrend (higher lows)
2. Downtrend (lower highs)
3. Sideways or basically chilling 😂 (flat vibes)

Riding those Trend Channels

Create that vibe with trend channels:

1. Ascending channel (climbing high, low-key upward vibes)
2. Descending channel (looping low, low-key downward vibes)
3. Horizontal channel (just straight chilling)

Create a lit up (ascending) channel by drawing a buddy line copy of an uptrend line touching the recent high point.

To make a grand down (descending) channel, mirror the downtrend at its angle and slide that line where it hits the freshest valley.

Lastly, just pass the vibe check with a horizon channel (horizontal) by keeping it parallelly chill.

How to Slay Trading Support and Resistance

Divide the strats into:

1. The almighty “bounce“
2. The epic “break“

With the bounce, you’re looking for that #legit_confirmation that support/resistance is on lockdown.

Play it cool, fam. Don't be that noob jumping right away—wait for some bounce action first!

Trust, you’re dodging those sketchy moments when price slices through without mercy like a hot knife through butter—or your hand (ouch!).

Now, about the break: go aggressive and make a baller move buying/selling when the price casually strolls through the zone.

Go strong or take a chill pill—play the conservative game by letting that price nosedive back to the shattered level. Let it breaths, then slap that buy/sell button.