Day 23 – What is Support and Resistance? (Chart Basics)

📉 Price doesn’t move randomly — it respects key levels.

Support and Resistance are the most important concepts in technical analysis.

🟢 Support

A price level where the coin usually stops falling and bounces upward.

It acts like a “floor”.

Example:

If BTC repeatedly bounces from $30,000, then $30,000 is support.

🔴 Resistance

A price level where the coin usually stops rising and falls downward.

It acts like a “ceiling”.

Example:

If BTC struggles to break $32,000 many times, then $32,000 is resistance.

Why these levels matter:

• Traders use support/resistance to:

• Enter trades at better prices

• Set stop-loss and take-profit

• Predict possible reversals

Beginner Tip:

The more times a level is tested, the stronger it becomes.

Key Takeaway:

👉 Support = buying zone | Resistance = selling pressure zone.

Save this post — support and resistance are the foundation of chart trading.

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