Market Notes | $BULLA | Lost the 0.03 level
Definition: A commonly cited rule is that a resistance level decisively broken often turns into support later; a support level genuinely breached to the downside often becomes resistance.
How to read it: Many people use key levels as anchors for position management: which side of the level you hold a position on, and where you place your stop-loss, are more practical considerations than guessing whether prices will rise or fall.
Indicators can fail, but stop-losses shouldn’t be skipped: thinking in advance about what to do if your judgment is wrong matters more than guessing correctly.
Definition: A commonly cited rule is that a resistance level decisively broken often turns into support later; a support level genuinely breached to the downside often becomes resistance.
How to read it: Many people use key levels as anchors for position management: which side of the level you hold a position on, and where you place your stop-loss, are more practical considerations than guessing whether prices will rise or fall.
Indicators can fail, but stop-losses shouldn’t be skipped: thinking in advance about what to do if your judgment is wrong matters more than guessing correctly.