Another Newbie Question: What Is Support/Resistence?

[Kius]

When I read articles like this:

EURUSD is trading between trendlines. On Friday, price broke the line that originated at the July low but is holding the line that extends off of the September and November lows. As long as the latter line holds, it’s difficult to be short.

-Watch for 1.3620 resistance.

What does resistance mean? What about support? I've seen these terms mentioned in various threads, and have no clue what they mean. Many thanks in advance for any light you can shed on this for me.

[marc]

When I read articles like this:

What does resistance mean? What about support? I've seen these terms mentioned in various threads, and have no clue what they mean. Many thanks in advance for any light you can shed on this for me.

Hi Kius, welcome to the forum ... and about your question I will simply link Bogdans article, which you can find among other valuable infos in the BOTS-school:

https://www.thatsucks.com/custom-ind...inary-options/

He explains that better as I could do it here ... but If you have any further questions, just ask ...

[willyw]

When I read articles like this:



What does resistance mean? What about support? I've seen these terms mentioned in various threads, and have no clue what they mean. Many thanks in advance for any light you can shed on this for me.

Hi Kius, just follow the link Marc provides and you will learn what support/resistance are. Both support/resistance are important to us when we analyze the market.

[Bogdan G]

Hi Kius, welcome to the forum ... and about your question I will simply link Bogdans article, which you can find among other valuable infos in the BOTS-school:

https://www.thatsucks.com/custom-ind...inary-options/

He explains that better as I could do it here ... but If you have any further questions, just ask ...

Thanks man. Kius, keep in mind the linked article is about a custom indicator which plots S/R on your charts, not strictly about Support and Resistance (although it contains teh basics).

[lragland]

Can someone explain, "crayola style", support and resistance? I have tried to research the terms for beginner explanations, but still don't understand what it means and how it is applied.

Thanks in advance!

[Bogdan G]

Sorry, but you really lost me here. I have never heard of such a thing called crayola style support and resistance... If anyone can provide additional info, I'll be glad to know what it is.

P.S.: are you by any chance referring to Camarilla Pivots which are used for s/r?

[lragland]

Sorry, but you really lost me here. I have never herd of such a thing called crayola style support and resistance... If anyone can provide additional info, I'll be glad to know what it is.

P.S.: are you by any chance referring to Camarilla Pivots which are used for s/r?

While reading threads and learning about trading, support and resistance is mentioned, but I don't understand exactly how it apples to charts and trading. If someone can explain it in easier terms, I would appreciate it.

[Bogdan G]

Oh, by any chance "crayola style" is an expression which has a meaning similar to simple, easy to understand, easier terms, etc?

[lragland]

Oh, by any chance "crayola style" is an expression which has a meaning similar to simple, easy to understand, easier terms, etc?

Yes, it is an expression meaning "easy to understand".

[Bogdan G]

Cool, I've learned something new.
Here it is - as crayola as I can make it:

Resistance: a level which will reject rising prices lower. Price goes up, hits this level ans starts to drop (or at least stalls there a pretty long time)
Support: a level which rejects falling prices higher. Price goes down, touches this level and starts to rise (or at least stalls there a pretty long time)