Traders generally expressed concern about the breakthrough market. This makes sense to them.
When the price finally breaks through the support or resistance level, we generally expect the price to continue to fluctuate in the direction of the breakthrough. In order for the price to break through the support or resistance level, you first need to ensure that the price has enough kinetic energy, right?
Now it’s time to board this train, the trip will be very pleasant, all you have to do is wait.
Yes, just wait.
We just have to wait, we see that the price moves slowly in a certain direction, and then suddenly and violently move in the opposite direction.
One thing you need to remember is that the support and resistance levels are such areas. After the price touches the above price areas, the trend may change.
The support levels are those areas where buying power is sufficient to overcome selling power and stop the market decline or cause the decline to reverse.
The strong support level is likely to remain stable, even if the price may fall below this level, which will provide traders with a good buying opportunity.
Resistance is similar to support, but it plays a role opposite to support. Resistance levels tend to halt price gains or cause prices to reverse lower.
Strong resistance is likely to remain stable, even if the price may break through the level, which will provide traders with a good opportunity to sell.
In the next lesson, we will have a more in-depth discussion on fake breakouts, such as why we should trade fake breakouts and how to use fake breakouts to make money.
Learning breakthrough trading strategies is not enough, because the market usually appears fake breakthrough market. We need to know what to do when a false breakthrough occurs.
This is an indispensable course for you to become a Jedi in the field of foreign exchange trading. In order to become a Jedi, you must be proficient in how to trade fake breakouts.