Reply To: Practical Exercise 4
Hi Nigel,
All looking good… you’ve used the principles we looked at to find those little high/low swings that can help mark good target areas. Just one thing to think about: I’d wait for the market to move away from an area before you can really consider it support or resistance. So on your GBPJPY chart (the level where you’ve got the question marks) you could wait for a move above or below this area before going back there on the chart to assess the S/R situation. Similar observation for the latest level on your CADUSD… you could wait for the market move away from that zone before looking for S/R.
The 15min exercise is just a case of applying the same principles to that timeframe. So for this exercise you can set aside anything you’ve already found on the daily chart and just focus on the price action of the 15min.