So how do you know if the support and resistance levels really break?

[khan188 536]

On 1/16/2020 at 9:03 AM, habibrony said:

There is no right answer to this question.
However, some say that if the price is close to the previous level, then it can be understood that support and resistance breaks.
But that is not always the case.

See the chart below. The price has gone down a lot since 1.4700. But later it has risen again.

 

But the support didn’t actually break. It is still unchanged and much stronger. Now if you close your trade and sell the cell trade, you would probably be losers.

If you practice regularly, you can easily determine support and resistance.

Get alot of tutorial about technical analysis from here.

You can learn from us by joining here.

Well, that a good question. The break doesn't just means if the cross the line. I normally consider it broken, the price closes below the support area and retest the line and start trading again down. In the picture above, it's called false breakout. I normally using S&R on higher TF. 

[jacker 1095]

resistance is like support and it's not really broken. The market is a lie (I see it myself.) and if you look closely at the rank or volume of the market, this is not necessarily safe. I sometimes see it as a trap.

[BitcryptoHan 2557]

A good trader always put in consideration the support and resistance level, even swing treaders do check this, when the market moves towards down sides, it is predicted that the support is broken to a lower one so do upside level which means is breaking resistance. I like the resistance to break so that there will be price increment. 

[George10 9932]

As you said it's a little bit tough to know if there will be a break out or not even when the price seems to surpass the support or resistance lines because there are fake break outs sometimes and they only last in few hours or days but the real breakout the price  is expected not to turn back but to continue moving up in couple of days ounce it crosses the support or resistance levels.

[guatazoo 7150]

When you are doing technical analysis you should draw the support and resistance lines in support and resistance levels, so if the price break through support or resistance level there must be happen the high impact either bull run or bear run. 

[Honny143 13612]

According to my trading knowledge and read so many articles, l know when market  opens and touch low point and then prices goes for high levei and touch the high point and drops the prices, this high and low points are resistance and support points, market so many times reach the points but not break this points, but once market break this points then prices goes high are low, but you mention fake breaking signals market gives then no one can do any thing.

[guatazoo 7150]

On 1/17/2020 at 8:12 AM, Kusumo234 said:

Our analysis can be wrong, and can also be granted by the market, when prices first come to the area of support and resistance or supply and demand, it is likely that prices will be held or sideway, but if areas such as support and resistance and supply and demand have been repeatedly  in the test, I'm not sure that the area will survive

I think that the experienced traders cannot do the wrong analysis, so that they can do the really analysis but the market can be changed any time. 

[DiamondBit 720]

The price us used to know if the support or the resistant level had broken, the real price of the coin in question will increase beyond the resistance or decrease below the support.  You can check this us in bit coin as an example. 

[Calvinpriva 17296]

Good lesson, i also trade forex with FBS broker but i have become interested with your lessons. I will visit your website so that i can learn more, i will never be tired in boosting my earning skills. Thanks much!

[estee369 489]

Forex market is predictable and you can read the charts by using some forex indicators. In forex many pro trader say that history repeats in forex. Just learn how to use indicator and make your own strategy and your charts and indicators will tell you support and resistance will be break or not.

[Yomose 3704]

It is easy to know, for example, bitcoin having a support of $9000, if btc fall below it, that means the support level brakes. If btc have a resistance at $9500, but if the price of bitcoin increase very well above it to over $10000, that mean the resistance level is broken. But this two.is said broken if bitcoin was not able to get to the price again over time. 

[BTC Future 3946]

A small continuation of the trend with a lower low may not mean that the trend is still bearish. Although I haven't seen many similar cases in crypto as usually the trend reserves with a convincing green candle next to the final red.

[dr4ch3 18]

Thanks for sharing the tutorial

[wikilis 6]

The engulfing candlestick is another excellent way to determine if support or resistance is intact. These patterns indicate strength or weakness at swing lows or swing highs respectively.

[dr4ch3 18]

1 hour ago, wikilis said:

The engulfing candlestick is another excellent way to determine if support or resistance is intact. These patterns indicate strength or weakness at swing lows or swing highs respectively.

What is engulfing candlestick? Any link for tutorial? Thanks.

[adidas21rus 37]

Unfortunately, like any variant of graphical analysis, support and resistance levels are subject to a subjective factor. Therefore, the quality of determining levels on the chart depends on the trader's experience and skills. If we are building levels for the first time, of course, we can not always understand where is a good area to open a position, and which area should be skipped.

For example, there used to be quite an interesting lesson when a beginner was given a printout of charts and asked to draw support and resistance levels on it. After a few such training sessions, the beginner will be able to easily determine the levels on real charts. Therefore, the best option here is a permanent practice.

[lllife 32]

It is recommended to determine the breakthrough of support and resistance levels by volume indicators. The value is given only to level crossovers at high volumes. The first time the price crosses the level, the so called test takes place. Then, the price rolls back, and then we wait for the second level crossover to occur, the so-called retest. Placing an order to open a deal at a sufficient distance from the level helps to filter out false breakouts. At the same time, it is always impossible to determine 100% correct level breakthroughs in trading, so it is necessary to adhere to money management.

Edited October 6, 2020 by lllife

[sakoo9 29]

Knowing the support and resistance levels every trader should master. Once you know how to define these levels, you will see how the price performs near them and you will be able to enter at the right moment to take advantage of the trade.

[ricardoramc 49]

15 hours ago, sakoo9 said:

Conocer los niveles de soporte y resistencia que todo trader debería dominar. Una vez que sepa cómo definir estos niveles, verá cómo se comporta el precio cerca de ellos y podrá ingresar en el momento adecuado para aprovechar la operación.

It is not necessary to know supports and resistances to operate, in my case I do not use supports and resistances, nor do I use trend lines, I am guided by the formation of fractals and taking liquidity, but each one chooses the way that best suits them. operate

[Antonio Mendoza 173]

It is easy to identify if a support or resistance is really broken, first of all you should observe how many times the price has touched the resistance or support and how strong the market is to break it to be sure, that this will happen you can see your chart In candles from 4 hour or 1 day followed by a long red candle in case of breaking a support and the resistance will be a green candle.

[rahmi777 320]

It is true that this is an imaginary break of the support, not a break, and the support levels know that the price cannot break it and bounce from it to the top, and this happened twice if a strong support area was formed. 

[Amr90 1064]

The candle shown in the figure is the so-called institutional candle,
Beware of a false break of the important resistance and support levels.
One of the most important things is waiting to confirm the break, by re-testing the level, perhaps a candle or two, reversal candles to confirm that the break occurred and the price reversed.

[Ameralsamt 2558]

Dear, I know that the way you know it has broken by going back to the top of the previous point, and landing on top of the line, calculated, if the index fell below the line and proven, it breaks and will continue to fall. 

[joemcgwa 3227]

On 1/16/2020 at 9:03 AM, habibrony said:

There is no right answer to this question.
However, some say that if the price is close to the previous level, then it can be understood that support and resistance breaks.
But that is not always the case.

See the chart below. The price has gone down a lot since 1.4700. But later it has risen again.

 

But the support didn’t actually break. It is still unchanged and much stronger. Now if you close your trade and sell the cell trade, you would probably be losers.

If you practice regularly, you can easily determine support and resistance.

Get alot of tutorial about technical analysis from here.

You can learn from us by joining here.

When the price has break the support line then back again over the support line, that's does means its does not break so it was only the market movement.

But if the price has break the support line and then back up and bouncing to support line and fall again, that's means the support line has break.

[huesca123 946]

To really know if a support / resistance has been broken, you have to use the higher time framed charts. The 1 hr or 4hr charts are best to use. If your a swing trader, the Daily chart. But, by using the higher time frame charts to get into a trade, your stop loss has to be bigger. In reality, the 4 hr is the best to trade. You might get into the trade later but its a lot more accurate.