Drawing correct resistance and support-lines

I have seen people draw trend-lines from about everywhere on a chart from various threads @ FF.

In this thread you can see my development during these years with specialized tests. Latests drawings are based on Igroks Method, the only worthy study/teaching on complex technical tests, IMO. https://forexintuitive.com/discussio...1-usd-jpy.html

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Originally Posted by ;

Another developing on GBPJPY 4 hour time period

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https://forexintuitive.com/attachments/1529664945.png

been after guppy, and we have a breakout on the 15m. Nice short-term entrance at the start of new 15m candle shaped above resistance-line.

Edit: Quick 60 pip. Notice how simple you can keep trading when applying right tools?
https://forexintuitive.com/attachmen...1346038478.png
https://forexintuitive.com/attachmen...0742056057.png

Https://forexintuitive.com/attachments/1529664946.png Breaking out Well. Whats that 60 plus pips already?

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Originally Posted by ;

https://forexintuitive.com/attachments/1529664947.png

Been following guppy, and we have a breakout on the 15m. Nice short-term entrance at the beginning of new 15m candle formed above resistance-line.

Edit: Fast 40 pip. See when employing tools, how simple you can keep trading?

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Thats my thoughts. The further indiors I clear off my charts the clearer it gets.

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Originally Posted by ;

https://forexintuitive.com/attachments/1529664947.png Breaking out nicely. Whats that 60 plus pips already?

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Wrote 40 first, from the time I have pressed article it was 60.

Certainly, when I first started out trading I used about 4-8 indiors in my charts. It was a total mess! Keep it simple, find out technics in the right order;

Support/resistance
Price-action

Then move on to divergence, Gartley patterns, gann-lines etc .

Usd/cad. Long-term down but we've got a support-line here if next bar is green overly





Edit: Being overly eager drawing lines may be fatal as displayed on the chart below
https://forexintuitive.com/attachmen...1009611296.png
https://forexintuitive.com/attachmen...1046125603.png

Principle of the thumb of trendlines: more touches and the more obvious the trendline has, the more powerful the market reaction will be upon the breakout. Basically everybody has the same trendline drawn on their charts and all of them respond on cascade upon the breakout (either to trigger into place, or stoplosses being run or to manually exit an present position), thus propelling the breakout throw even further.

Beware of unclear trendlines. Ask yourself when drawing a trendline: would this trendline be obvious to every trader? Otherwise, the market reaction upon the breakout will be minimum.

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Originally Posted by ;

Rule of the thumb about trendlines: the more evident and more touches the trendline has, the more powerful the market reaction will be upon the breakout. Basically everybody has the same trendline drawn on their charts and all of them respond on cascade upon the breakout (either to trigger into place, or stoplosses being run or to manually exit an present position), thus propelling the breakout throw even further.

Beware of unclear trendlines. Ask yourself when drawing a trendline: do this trendline be evident to each trader? If not, the market reaction upon the breakout will be minimal.

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Well stated, nice input for this particular thread.

Update on usd/chf if some are interested. Bullish channel we're in now, lets see what London session can do with it.
https://forexintuitive.com/attachmen...5966963158.png

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4H on cable. Possible bullish wedge that can be analyzed. Let us see how it plays out.

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Great thread I have a question though. That wedge has been already broken. What's your opinion today? Since the wedge is broken to the upside, but for example candlestick patterns suggest a retracement. Doji, shooting star, etc.. On a timeframe I do trust those.