Why support becomes resistance

Post a chart, show to people where you think the explanation is wrong, and let them explain.

 

Yes.

When you mentioned liquidity, were you suggesting that that is the textbook answer or were you suggesting that in liquidity lies at least a partial answer?

 

Liquidity is the answer, but there's a whole story behind it I'm driving at and that story isn't technical, it cannot be explained by a chart though it certainly can be observed.

fwiw This is meant to be a genuine discussion for the sole purpose of helping myself though even better if it helps a few of us.

BD

 

Beg your pardon?

Seems like you are trying to re-invent the wheel.

 

try again.

the minority conrols the market.

 

Yes you have been reading BS from others in this thread.

 

Try again yourself, "Master" Jack-Hershey-I-am-better-than-you-and-I-know-the-secret-of-the-Universe.

Pffff....

 

If you already know the answer, then it sounds like the thread will be less a discussion and more trying to guess what you're thinking.

Be that as it may, support and resistance are what they are because of a lack of liquidity not because of it. Liquidity is found in the middle of the range, not at the extremes, hence the reversals.

 

true 'dat... it's about knowing where the battle line between the shorts and longs is.

 

True.

And support and resistance lines will tell you that, if the trader can draw them correctly.

And we are back to square one.

PS: quite frankly, who cares about the "why this or that happens?", if we can consistently make money ($$$) with certain repetitive and simple chart patterns, like support and resistance levels?