What method do you use to draw past support and resistance levels?
TradeWizards posted:ChelseaR posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:How do you confirm their strength?
The number of times a price range is touched.The more times it is touched, the more important it is.If these levels are on the H1 and H4 timeframes, they are more important.They are more powerful if they coincide with fibo nachi.If they form candlestick and harmonic patterns on the M30 and M15 timeframes, they are important.If they are at the bottom and top of the channel, they are also important.And.....
Understood, the more times a level is test the stronger it gets. How'd you spot level in trades?
I designed a computational code that identifies these levels based on the maximum and minimum points of the zigzag and examining past waves in several time frames.I am currently looking for other ways to improve it.
Cool. Have you tried incorporating liquidity zones to refine those levels?
We just calculated the hits of each level.The Fibonacci tubes shown in the front of the chart are very powerful if they meet high-hit resistance levels.
Do you use it for entry or exits?
These levels are very important for determining entry and exit and I use them a lotYou can test the indicator "TW Support Resistance Level" on the MQL5 Site.
How do you confirm the direction of the price movements?
Support and resistance levels only identify important areas for a pullback.The higher the number of hits to that level and the more they match the Fibonacci levels of the last swing, the higher the probability of returning to the previous Fibonacci level.Having important areas and combining them with other strategies reduces your risk.I introduced a new product on MQL5 Market that you can also test and combine with resistance levels.
I have a question - How do you filter out false breakouts when using support and resistance with Fibonacci?
TradeWizards posted:Please discuss ways to draw past support and resistance levels and Fibonacci if you have any ideas or methods.
In my view Fibonacci is useless because when you define the levels of pullback (zones) probability that price will show reversal in one of the zones is quite high (over 80%) especially when you add margin to those zones. So it's a kind of fake indicator
For drawing past support and resistance levels, I keep it simple:
- Look at the higher timeframes first (Daily, 4H).- Identify key swing highs and lows.- Use line charts for clarity.- Adjust levels over time.
fxashely89 posted:For drawing past support and resistance levels, I keep it simple:
- Look at the higher timeframes first (Daily, 4H).- Identify key swing highs and lows.- Use line charts for clarity.- Adjust levels over time.
Do you find line charts more reliable than candlestick charts for marking key levels?
JoeyQuinn posted:TradeWizards posted:ChelseaR posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:How do you confirm their strength?
The number of times a price range is touched.The more times it is touched, the more important it is.If these levels are on the H1 and H4 timeframes, they are more important.They are more powerful if they coincide with fibo nachi.If they form candlestick and harmonic patterns on the M30 and M15 timeframes, they are important.If they are at the bottom and top of the channel, they are also important.And.....
Understood, the more times a level is test the stronger it gets. How'd you spot level in trades?
I designed a computational code that identifies these levels based on the maximum and minimum points of the zigzag and examining past waves in several time frames.I am currently looking for other ways to improve it.
Cool. Have you tried incorporating liquidity zones to refine those levels?
We just calculated the hits of each level.The Fibonacci tubes shown in the front of the chart are very powerful if they meet high-hit resistance levels.
Do you use it for entry or exits?
These levels are very important for determining entry and exit and I use them a lotYou can test the indicator "TW Support Resistance Level" on the MQL5 Site.
How do you confirm the direction of the price movements?
Support and resistance levels only identify important areas for a pullback.The higher the number of hits to that level and the more they match the Fibonacci levels of the last swing, the higher the probability of returning to the previous Fibonacci level.Having important areas and combining them with other strategies reduces your risk.I introduced a new product on MQL5 Market that you can also test and combine with resistance levels.
I have a question - How do you filter out false breakouts when using support and resistance with Fibonacci?
Filtering entry points depends on each person's personal strategy, but I check the following before entering:
1- I check the support and resistance levels and Fibo levels.2- I wait for confirmations from candlesticks or harmonic patterns.3- I get confirmation from other indicators on higher timeframes.4- I check the fundamental condition of the currency being traded.5- I determine the volume and SL with predetermined principles of capital management.
I calmly wait for the probability of success to happen because nothing is absolute in the forex market.
bardachok posted:TradeWizards posted:Please discuss ways to draw past support and resistance levels and Fibonacci if you have any ideas or methods.
In my view Fibonacci is useless because when you define the levels of pullback (zones) probability that price will show reversal in one of the zones is quite high (over 80%) especially when you add margin to those zones. So it's a kind of fake indicator
Your opinion is somewhat correct.Support and resistance levels and Fibonacci are very important zones but they definitely need to be checked with other things.It is important to note that nothing is absolute in the Forex market, we can only change the probability of success.If you are willing, explain about the more effective methods you use.
When identifying past support and resistance levels ,
I rely on a combination of historical price action analysis and technical tools. I first examine significant swing highs and lows, key daily or weekly pivot points, and zones where price has repeatedly reversed or consolidated. I also consider volume clusters and order flow patterns where available, as these indicate areas of strong market interest. Rather than drawing exact lines, I prefer to mark zones to account for minor price fluctuations, ensuring the levels reflect real market behavior rather than arbitrary points.
TradeWizards posted:ChelseaR posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:TradeWizards posted:Brenda13 posted:How do you confirm their strength?
The number of times a price range is touched.The more times it is touched, the more important it is.If these levels are on the H1 and H4 timeframes, they are more important.They are more powerful if they coincide with fibo nachi.If they form candlestick and harmonic patterns on the M30 and M15 timeframes, they are important.If they are at the bottom and top of the channel, they are also important.And.....
Understood, the more times a level is test the stronger it gets. How'd you spot level in trades?
I designed a computational code that identifies these levels based on the maximum and minimum points of the zigzag and examining past waves in several time frames.I am currently looking for other ways to improve it.
Cool. Have you tried incorporating liquidity zones to refine those levels?
We just calculated the hits of each level.The Fibonacci tubes shown in the front of the chart are very powerful if they meet high-hit resistance levels.
Do you use it for entry or exits?
These levels are very important for determining entry and exit and I use them a lotYou can test the indicator "TW Support Resistance Level" on the MQL5 Site.
How do you confirm the direction of the price movements?
Support and resistance levels only identify important areas for a pullback.The higher the number of hits to that level and the more they match the Fibonacci levels of the last swing, the higher the probability of returning to the previous Fibonacci level.Having important areas and combining them with other strategies reduces your risk.I introduced a new product on MQL5 Market that you can also test and combine with resistance levels.
The more times a level is tested the stronger it gets. In my trading I map zones on D1/H4, then refine on M15 and only pull fibs when the impulse-correction structure is clean; ATR/wick clusters help me size the zone
