Support..Resistance The graphical historic view of highly concentrated price levels...if prices are headed down..support...if prices are headed up resistance...
In that case, my original answer applies, and S/R is essential to my trading. If you want examples, review the charts posted in my thread, particularly those posted on the weekends.
dbphoenix....thank you for your responses.... Do you think of S/R levels as those prices thought to be made by the investing mutual funds..other large investors...for long term holds...?
Also dbphoenix.... Do think that the guessed visual number...is a better number than the moving average number...? The reason for the question...is that I quite often see the bid or ask quickly test the visuals...no action at the nearby visual..then a quick drop to the next visual...etc.. Do you comply with this?
The MA is generally irrelevant unless it coincides with price S/R. As you say, it's concentrated price levels, either by volume or by time or by effort or any combination thereof. The source of the buying and selling is irrelevant. As for your "guessed visual" question, I'd have to know your strategy and your tactics. I don't much care about the bid and ask or about T&S.
I'm not sure I understand what you mean. When you say "PIVOTS", are you referring also to the S/R levels that are derived using the calculations I described?
Yes. That was the term you used. But whether or not they actually offer S/R to a statistically significant degree is a different subject.
I do not think this guy can calculate Pivots! That may be higher math for him. He wants to be spoon fed indicators. Buying S1 on the NQ was a cool 15 pointer today. Just call me Mohan!