Already on ArticleSlash?

Forgot your password? Sign Up

Secret to Trading Success - Understanding Support and Resistance


Visitors: 178

While everyone is virtually welcome to join the Forex market, profiting from it cannot be accomplished by all traders. There are a number of ingredients that contribute to the success of a trader in the Forex industry. Effort and time must be devoted to Forex trading - and strategies must be employed.

One of the secrets to success in Forex trading is the Forex trader's understanding of support and resistance, two of the most common concepts in the Forex market. Before searching for techniques you can use, it is best to fully comprehend first - not just merely glance at - what support and resistance are. Resistance simply refers to the highest point reached before being pulled back once more; this is achieved when the Forex market moves up and back again. Support, on the other hand, refers to the lowest point reached before starting back; this is determined when the Forex market begins to move again.

Trend lines can help you maximize profit-making opportunities in support and resistance. You should draw an uptrend line along the bottom of valleys, which are actually the support areas that are easily identifiable. On the other hand, you should draw a downtrend line along the top of peaks, which are the resistance areas that are easily identifiable. But don't just stop at drawing the appropriate trends. Use ascending or descending channels (whichever is necessary) to sustain your advantageous market position. By understanding support and resistance, you can enjoy success in Forex trading the soonest time possible.

Timothy Stevens is a Forex Options Trader who owns - He has helped hundreds of people on Trading Forex with Options.

He has recently developed a free e-course showing you a step by step process for starting your Forex Trading easier. To learn how to start Forex Trading with Options without wasting your time and losing more money, visit


Article Source:

Rate this Article: 
Secret Of Success In Stock Trading
Rated 4 / 5
based on 5 votes

Related Articles:

Understanding the Stock Market - Support and Resistance

by: John C Morgan (October 16, 2008) 

Forex Day Trading – Trading Support and Resistance For Profits

by: Sacha Tarkovsky (March 02, 2007) 

Trading Support and Resistance

by: Kunal Vakil (February 03, 2008) 
(Investing/Day Trading)

Support and Resistance - The Greatest Trading Tool

by: Lance Beggs (August 31, 2008) 
(Investing/Day Trading)

The Importance of Support and Resistance in Forex Trading

by: Timothy Stevens (January 15, 2009) 
(Finance/Currency Trading)

Indicators Are Liars! Trading Using Support & Resistance Levels

by: Aamar Hussain (September 08, 2008) 
(Investing/Day Trading)

Forex Trading Strategies - Learn to Use Support and Resistance

by: Albert Schmidt (September 28, 2008) 
(Finance/Currency Trading)

The Forex Trading Strategy to Find the TRUE Support and Resistance Areas

by: John Templeton (November 03, 2008) 
(Finance/Currency Trading)

Stock Picks 101 - Support and Resistance

by: Douglas Newberry (June 09, 2007) 

Secret Of Success In Stock Trading

by: Vijay Kumar Sharma (May 13, 2008)