📉📈 Many of you ask how to nail entries and stops. It all starts with real Support and Resistance, not just drawing lines everywhere! True S/R comes from multiple rejections or bounces on higher timeframes (H4, D1) or significant psychological levels. Forget those M5 squiggles; they're just noise.
When a major resistance, say BTC at $68,000, finally breaks, it often flips and acts as new support. Mechanically, this happens because early shorts are forced to cover, and sidelined buyers who missed the initial pump see an opportunity to enter on a retest, creating demand where there was once supply.
So, for an entry, if BTC breaks $68,000, wait for a confirmed retest of $68,000 as support. Enter a long as price bounces off it. Place your stop *just below* that S/R zone, perhaps $67,800....
When a major resistance, say BTC at $68,000, finally breaks, it often flips and acts as new support. Mechanically, this happens because early shorts are forced to cover, and sidelined buyers who missed the initial pump see an opportunity to enter on a retest, creating demand where there was once supply.
So, for an entry, if BTC breaks $68,000, wait for a confirmed retest of $68,000 as support. Enter a long as price bounces off it. Place your stop *just below* that S/R zone, perhaps $67,800....