Indicator Notes | $IO | Losing the 0.18 Level
Definition: Common criteria for deciding whether a breakdown counts include: the close is on the other side of the level, a rebound fails to reclaim it, and volume picks up during the breakout.
How to read it: The first rebound after losing the level is often seen as a test. If price is rejected near the level, the idea that support has turned into resistance is more convincing.
Keep enough margin for leveraged positions so a single sharp move doesn’t force you out of the trade.
Definition: Common criteria for deciding whether a breakdown counts include: the close is on the other side of the level, a rebound fails to reclaim it, and volume picks up during the breakout.
How to read it: The first rebound after losing the level is often seen as a test. If price is rejected near the level, the idea that support has turned into resistance is more convincing.
Keep enough margin for leveraged positions so a single sharp move doesn’t force you out of the trade.