$TRUMP ｜The 1.8 level gives way
Before looking at your position, first get clear on the key price levels.
The more often a price level is tested, the more significant it tends to become in traders’ eyes. However, some argue that repeated tests can instead weaken support at that level.
Many traders use key levels as anchors for risk management: which side of a level to trade on and where to place a stop-loss are more practical considerations than trying to guess the direction.
Understanding an indicator is about avoiding being misled by the numbers, not using it to predict tops and bottoms.
Before looking at your position, first get clear on the key price levels.
The more often a price level is tested, the more significant it tends to become in traders’ eyes. However, some argue that repeated tests can instead weaken support at that level.
Many traders use key levels as anchors for risk management: which side of a level to trade on and where to place a stop-loss are more practical considerations than trying to guess the direction.
Understanding an indicator is about avoiding being misled by the numbers, not using it to predict tops and bottoms.