Okay now look at this!
When we want to analyse, it’s mandatory to look on the left side first as that is the data given. Once we have identified the data on the left side, only then we decide whether we want to buy or sell.
On the left there are 3 rejections in the Resistance Zone. Hence, that is an indicator that the resistance is strong. When the price is on the right side reaches the Resistance Zone, it will breakthrough the strong Resistance Zone. Hence, it is automatically considered as a Breakout Resistance.
When it hits Breakout Resistance, we turn the Resistance Zone into Support (RBS), wait for the price to reach and we enter BUY.
When we want to analyse, it’s mandatory to look on the left side first as that is the data given. Once we have identified the data on the left side, only then we decide whether we want to buy or sell.
On the left there are 3 rejections in the Resistance Zone. Hence, that is an indicator that the resistance is strong. When the price is on the right side reaches the Resistance Zone, it will breakthrough the strong Resistance Zone. Hence, it is automatically considered as a Breakout Resistance.
When it hits Breakout Resistance, we turn the Resistance Zone into Support (RBS), wait for the price to reach and we enter BUY.