How do I build custom levels? Assembly of experts

How do I build custom levels? Assembly of experts

How do I build custom levels? Assembly of experts

Today you will learn something that no one tells you about. However, this information is very important for every trader to make trading as efficient as possible. Are you ready for new information? Then read this article to the end.

Anyone who has ever been interested in trading in the currency markets has encountered levels called support and resistance.

However, the article will not be related to support/resistance trading tactics. Today we will talk about non-standard construction of levels.

Observation has shown that everyone who describes the rules for building levels does it in their own way. For a long time, I did what most people do, which is mark horizontal levels with a line. And this is a mistake.

But before we go to the construction of those "important levels", let's figure out what exactly is a "level"?

I have no doubt that You have read a huge amount of literature on this topic, watched hundreds of hours of videos on the Internet and ask what new things you can learn here? But I'm sure You haven't really thought about what a level is.

The classic definition is: A level is a price area that the price does not go above or below.

The keyword in this definition is "AREA" or zone. Now let's look at how the vast majority of traders build levels:

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The level is, first of all, a price zone and we build it with a horizontal line. As a result, we see numerous level touches, false breakouts, etc.

However, the question arises: how do we determine the entry point from this level, if, in the first case, the price touches the level, and the next approach to it, it breaks it a little and only then returns again? And when we switch to a smaller timeframe, it may seem that the level is broken and we will choose the wrong direction for trading:

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Difficult, isn't it?

Let's go back to the definition of "AREA" or zone: in my opinion, these words are the answer to the mystery of building levels.

Now I will use an example to explain that the level is not a line, but a zone:

When the price moves, there are buyers and sellers in each price tag, and when you approach the price zone (1.1 is the zone of our interest), you can see that there are also interested people both for buying and selling. There are also Stop orders and limit orders. Graphically, it looks something like this:

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We must understand that this is not only our area of interest, but also millions of people like us. Accordingly, we are not related to each other and do not agree exactly at what price we will buy or sell. This can be seen from the following example, where the grid of orders is scattered in a certain range, which was 150 pips or 15 points:

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So we learned that a level is not a line, but a zone. But that's not all.

The accuracy of building levels gives us the most accurate information for trading. And how can you understand exactly where the price will turn from the level, if, basically, everyone puts horizontal lines?

We found out that the level is not a horizontal line, but a zone, so you need to build it in the form of rectangles on the bodies of candles. We are not interested in how often the price has tested this level in the past, we are interested in the latest reaction to this level - this understanding gives us the most accurate level for trading.

The example shows levels of different order: from strong ones with the highest order to intermediate ones. Pay attention to how accurately the price reacts to them:

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Intermediate level:

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The same levels, only on a small timeframe:

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Let's deduce a General rule for building non-standard levels:

We mark with rectangles the nearest zones from which the price moved on the bodies of candlesticks

If you want to learn more about this method of building levels, feel free to sign up for a new group of special courses on strategy "Sniper".

In addition to building non-standard levels, we also analyze market entry points, which can be used to trade both on the trend and against it, and even in the flat market! This gives You a huge advantage over other traders who know little about entry points, which is why they just sit in front of the monitor waiting for the right moment.

The Sniper strategy is designed to help you understand the market and learn how to trade in it. And in the lessons from the Forex Academy, even the most complex strategies become simple! Why? All thanks to the Forex Academy traders who are constantly trading on the market – they do not teach you a naked theory! Traders are aware of all the current changes, events and nuances in the market, so that training at the Academy is really effective – students always achieve results!

So, you already want to get rich on the volatility of the market? Then apply for training! You can sign up in four simple steps:

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Fill out the form with your contact details
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