How to Read Resistance and Support Levels using Trend-Lines
How to Read Resistance and Support Technical Analysis using Trend-Lines Technical Analysis
Support and resistance technical analysis levels on charts might sometimes form in a diagonal way especially when the prices are moving in a upwards trend or XAUUSD downwards trend.
In a upwards trend the support technical level in XAUUSD for the price will form in a diagonal way that is sloping upwards - & from this upwards sloping diagonal support technical level in traders can then draw XAUUSD upwards trendlines and use these upwards trendlines to find the support technical level in XAUUSD.
In a downward trend the resistance technical analysis levels for the price will form in a diagonal way that is sloping downwards - & from this downward sloping diagonal resistance technical analysis levels traders can then draw XAUUSD downwards trendlines and use these downwards trendlines to find the resistance technical analysis levels.
How to Read Support Zones Using Upwards Trend-Lines
An XAUUSD upwards trendline is drawn below the Trading upward trend pattern formed by consecutive higher low, the Trading upwards trend line must connect at least 2 price lows, with the recent most price low being higher.
Since price moves up in a zigzag manner traders normally draw a upwards trend line which portrays the general up-wards movement of the prices - In trading analysis we can define this upwards trend line is drawn on a chart showing the support technical level in XAUUSD (XAUUSD upwards price direction).
How Do You Read Support Areas Using Upward Trend-Lines
To draw this upwards trend we use support technical level in XAUUSD and to draw XAUUSD upwards trend correctly two support technical level in XAUUSD are needed. When price touches this upward trend line, then traders will open buy trades & place XAUUSD stop loss orders just a few pips below the sloping support technical level in XAUUSD - shown by the Trading upward trendline:
How Do I Read Support Areas Using Upward Trend-Lines
How to Read Resistance Levels Using Downward Trend Lines
A downwards trendline is drawn above the Trading downward trend pattern formed by consecutive lower highs, the Trading downwards trend line must connect at least 2 price highs, with the recent most price high being lower.
Since price moves down in a zigzag manner traders normally draw a downward trendline which shows the general downwards movement of the prices - In trading analysis we can define this downwards trend-line is drawn on a chart showing the resistance technical analysis levels (XAUUSD downwards price direction).
How Do I Read Resistance Levels Using Downward Trend-Lines
To draw this downwards trend we use resistance technical analysis levels and to draw XAUUSD downwards trend correctly two resistance technical analysis levels are needed. When price touches this downward trend line, then traders will open sell trades & place XAUUSD stop loss orders just a few pips above the sloping resistance technical analysis levels - shown by the Trading downward trendline:
How Do You Read Resistance Levels Using Downwards Trend Lines
How Do I Read Resistance & Support Levels using Trendlines - Read Resistance & Support Levels using Trendlines?
