Just jotting this down: $US has fallen below the 0.032 level, seven days after it was last here.
People often ask how to read key price levels, so here’s my take.
One pattern is that a resistance level that’s decisively broken often turns into support, while a support level that’s decisively broken often becomes resistance.
When a price returns to a level after a long time, it often meets people who bought around that level before and are looking to break even and sell, or add to their positions. Trading activity often becomes more concentrated there.
Multiple data points corroborating each other are more reliable than looking at just one, but even more indicators can’t provide a definitive answer.
#US
These are just views for discussion; you assume all risks.
People often ask how to read key price levels, so here’s my take.
One pattern is that a resistance level that’s decisively broken often turns into support, while a support level that’s decisively broken often becomes resistance.
When a price returns to a level after a long time, it often meets people who bought around that level before and are looking to break even and sell, or add to their positions. Trading activity often becomes more concentrated there.
Multiple data points corroborating each other are more reliable than looking at just one, but even more indicators can’t provide a definitive answer.
#US
These are just views for discussion; you assume all risks.