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Tip: Easiest way to draw major Support & Resistance

#1
Tip: Easiest way to draw major Support & Resistance

Easiest Way To Draw Support And Resistance in Forex.gif

Here is another common question we get in our inbox from time to time: How do I draw Support & Resistance Lines?

The answer is simple. Use a Line Chart! In MT4, the Line Chart tool is accessed by pressing this icon
Line Chart Tool MT4 Icon.png

Open your chart and load up the Weekly or Daily timeframe.
Drawing Support and Resistance Guide 1.png

Switch over to the "Line" Chart view.
Drawing Support and Resistance Guide 2.png

Draw your Horizontal Support Line at an area where price has bounced.
Drawing Support and Resistance Guide 3.png

Zoom out of the chart or scroll back and see if price has bounced off that line in the past. If price has reacted to that area in the past then you have identified a significant area of support!
Drawing Support and Resistance Guide 4.png

Repeat the process for Horizontal Resistance.
Drawing Support and Resistance Guide 5.png

Be sure to scroll back on the chart to see if price has reacted to these areas in the past.
Drawing Support and Resistance Guide 6.png

Once you've finished, your chart should look something like this.
Drawing Support and Resistance Guide 7.png

Now you can switch back to Candlesticks.
Drawing Support and Resistance Guide 8.png

You can then choose to "fill" in the areas using the Rectangle tool if you would like to have potential reversal Zones instead.
Drawing Support and Resistance Guide 9.png

When you've finished creating Zones you can remove the lines you've created.
Drawing Support and Resistance Guide 10.png

Don't expect price to immediately react to these lines!

When drawing these lines on the Weekly and Daily charts there's a high chance that price won't react immediately when touching those support and resistance lines and may continue on, so don't try and scalp these areas and expect price to immediately reverse once it touches these horizontal lines you've drawn. Remember, we've just used the line chart to draw these lines and the line chart is based on the close of the candle so price could well and truly continue blasting through these levels for hours before eventually reversing.

Aggressive traders

If you're an aggressive trader you can enter reversal trades right on these lines, but you'll need to use wide stops.

The trick is to be aware when price hits these areas and start looking for reversal trading opportunities from here by loading your chart on the smaller intraday timeframes and enter there.
Myfxbook live trading results (new 2019 account coming soon)
Need custom MT4 coding? Send a PM to Mrtools or post here for a quote!


Re: Tip: Easiest way to draw major Support & Resistance

#2
Jimmy wrote:
Fri Jun 28, 2019 10:33 pm

The trick is to be aware when price hits these areas and start looking for reversal trading opportunities from here by loading your chart on the smaller intraday timeframes and enter there.
Thank you Jimmy,
It is really easy to draw on a line chart, support and resistance than the candlechart.
A very powerful tool.
Great explained :clap:
Trade what you see, not what you think

Re: Tip: Easiest way to draw major Support & Resistance

#3
Skyold wrote:
Sat Jun 29, 2019 7:03 am
Jimmy wrote:
Fri Jun 28, 2019 10:33 pm

The trick is to be aware when price hits these areas and start looking for reversal trading opportunities from here by loading your chart on the smaller intraday timeframes and enter there.
Thank you Jimmy,
It is really easy to draw on a line chart, support and resistance than the candlechart.
A very powerful tool.
Great explained :clap:
Thank you for reading it Sky! Your post makes me happy bro. Try it out on your charts this weekend :)
Myfxbook live trading results (new 2019 account coming soon)
Need custom MT4 coding? Send a PM to Mrtools or post here for a quote!

Re: Tip: Easiest way to draw major Support & Resistance

#5
dw13 wrote:
Fri Jul 05, 2019 1:59 pm
a worth reading post. thanks man, for such an informative post, this is what newbies need to read and find in the forums :clap:
Hey D, you're most welcome bro! I'm happy that you liked the article and read through it. Please let others know about this tip too if you feel it might help them out! :)

Have a nice weekend man.
Myfxbook live trading results (new 2019 account coming soon)
Need custom MT4 coding? Send a PM to Mrtools or post here for a quote!



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