moonchild
VIP Contributor
Key levels are points in chart where markets consolidate or bounce off of, some of this levels can be support or resistance and also some can be daily or weekly open or close, plotting this sort of lines on your charts will help you tremendously in determining where the market will reach so it can serve as a support or resistance level on the chart and also a point of either setting your stop loss or take profits.
You can start by plotting daily open and daily close for the previous day and also plot weekly open on your chart and just notice how price tend to react on these zones, it will give you idea on how you can utilize them and get the best results, also it's important to know when daily high is breached is an indication for an uptrend and when daily low is breached is an indication for a downtrend.
You can start by plotting daily open and daily close for the previous day and also plot weekly open on your chart and just notice how price tend to react on these zones, it will give you idea on how you can utilize them and get the best results, also it's important to know when daily high is breached is an indication for an uptrend and when daily low is breached is an indication for a downtrend.
