Technical Note | $US | Holding above 0.029
Definition: Previous highs and lows are commonly used reference levels. The memory of price being turned back or supported at those levels can often influence decisions when price reaches them again.
A common way to read it: Breaking through a level only shows that one side has the upper hand for now. How much further it can go depends on the next level ahead and whether trading volume can keep up.
Comparing multiple data points is more reliable than looking at just one, but even a whole range of indicators can’t provide a definite answer.
Make your own decisions about when to enter or exit—don’t follow the crowd.
Definition: Previous highs and lows are commonly used reference levels. The memory of price being turned back or supported at those levels can often influence decisions when price reaches them again.
A common way to read it: Breaking through a level only shows that one side has the upper hand for now. How much further it can go depends on the next level ahead and whether trading volume can keep up.
Comparing multiple data points is more reliable than looking at just one, but even a whole range of indicators can’t provide a definite answer.
Make your own decisions about when to enter or exit—don’t follow the crowd.