Support And Resistance Line लोग कितना गलत बनाते हैं | How to draw support and resistance lines - YouTube

Greetings,

my name is Pravin Khetan

from last 10 years i'm giving training of stock student's and

from last 10 years i have trained approx 8,000 students

i meet so many traders daily.

we had discussions, and i get shocked seeing that people make support and resistance line wrong.

what is true method of support & resistance line.

today, we will understand this and your skills will also get tested.

in 2 minutes, we will understand how correctly you're making it.

and correct use is done or not.

why? because, if you're drawing right but use is not correct.

then maybe results are not good.

watch this video till last, test the skills.

if you understand then share it with your friends.

because it's a big problem in today's time that people don't know technical analysis.

but youtube's earning is good so anyone saying anything without any qualification and people infamous the technical analysis

it works in offline but doesn't works in live market and results are not well,

so let's understand why this problem happens.

what is correct way of making support and resistance line.

first myth to be removed from your mind is that if the price goes down.

it will come back from support line

people wait that it will come to support and move upwards.

there is no guarantee that it will come to support, price may move before the support.

so, please its not like that you're sitting with the trade

that it will come to support and move upwards.

there is no guarantee it will go up from support, it may go upwards.

if price goes to resistance then it will be decreasing. No, not at all.

erase these 2 things from your mind.

I will tell you the actual use, so please watch this video till last.

test your skills and tell us in comment box, is that logically true.

so i will give you a condition and asking you that if you're in this place then,

which resistance you'll choose.

this is one resistance, point one

this is second resistance, point two.

now tell me, is point one correct or point two.

whichever you feel is correct, type in comment box.

in a while, i will tell you which point is correct.

now let's take second situation.

this is point 3,

i have made one support in up-trend.

second, this is point one.

In eg-2, we have one more resistance, support point.

point 3, if we have price on top, and it's coming down then, which will be important support.

which one we will watch, point 2, point 1 or point 3.

price will increase from point 2 or point 1 or point 3

think about this eg-2 answer or write in comment box.

we have one more example

point 3, we have made a support. point 2, here also we have made support.

point 1, we have made one support.

price is falling tell me in example 3 which one is important support for us.

which support we will watch for ?

so support 1 which is in middle, support 2 which is in start, support 3 which is in last.

think about this in mind,

and when you'll watch this video till end, then you'll realise that i was right or wrong.

so, lets understand what is support?

this defination will give you all the answers, support is a price level at which price increases due to lower supply or high demand.

when price decreases, normally sellers in the market does not wants to sell and price stop to breakdown.

when demand increases price starts to increase.

with low supplies, price decreases, and when demand increases price also increase.

support is a price level at which, price starts increasing if the demand increases.

resistance is a level at which price reduces due to higher supply or lower demand.

because things are expensive there.

if things are expensive at top, so buyer's are not there. at bottom, things are cheap so sellers are not there.

these 2 are reasons for changing price,

technical analysis is based on theory which says history repeat itself.

whatever happened before , may happen again.

at price levels, people thought things are expensive and price decreases so it may happen again.

same way, people thought things are cheap, price may increase but it is not guaranteed.

so based on this concept, support and resistance works.

will see these examples with another perspective.

in eg-1, if you choose point 1, that this is all time high level

this is good resistance because price has gone down 2 times.

so the level to watch is point 1, whatever price is there, it must watch.

if you're thinking this, then you're wrong.

in technical analysis this level was where price decreased. then price increased and went down a bit.

after that, if chances were there that price has got this resistance then,

price would have hit this resistance and new resistance would not be created.

i will repeat that, at this level price went down and when went up, price didn't reached this level.

so people think that things were expensive but, still are expensive

this level wouldn't be achieved.

keep this in mind, take nearest resistance from price. you'll take backward looking approach.

if gone backwards, where first resistance was created. that level will be resistance.

i will tell you how to trade on this. and how to use it. first, see how to identify it.

this second example, this was first, second and third support.

you can see this is decreasing, usually people choose support 1,

chances are there that price increases.

this forecasting thing, support 2 can break and support 1 is strong support as 2 times it has went up.

this mind set of technical analysts please leave it, and whoever you've learned it from join hands to them.

this is not supposed to be work. please understand that there is no guarantee that from previous support price will go up,

possibility is there.

price can go up, but not a guarantee.

its not that it is strong support, or weak support or we should wait for strong support.

will buy when price will increase from here,

focus should be on the nearest support,

nearest support is point 2, when price go down from up,

so price didn't came till support 1.

before this, price went up. this means that demand is already created in the market

people think that rate should be more than this and

rate should be more than point 1 in market and price went up from point 2.

point 2 should be your target support. not point 1

point 3, will see.

point 2 will break price will go down .

point 1 will break price will go down.

then will see point 3, but for now in this position on top, your target should be point 2.

third example, it is tricky.

now, here point 3 is the lowest.

point 1 is up from point 2.

technically when price will go down, nearest support is point 1, so if you say im selecting point 1

because its nearest support, and after that point 2,

so you're wrong. again you're wrong.

first theory is void n null here.

when price is going down, then you say this support is nearest support is target.

no, because nearest is broken.

so price went down, breaking this level up and when we adopt backward looking approach, so

this support is coming first before this.

this is our nearest.we don't see height wise nearest

we see it by backward looking approach and see where latest support has created.

you want a live example on this, as in NIFTY, gold , crudeoil , euro USD,

i would be happy to share but it has to be a give-n-take relationship,

so like this video, make sure target reaches 400 or views must be 5,000. I'll teach you

the actual application on live market and how to trade on this, and actual correct application.

today we learned identification, so please complete the target, like this video, subscribe the channel.

share with your friends so that more views.

and i will tell you correct application so that you use it properly.

so you actually trade on it, and make profits rather than roaming here-n-there for correct knowledge.

lets meet in next video, till then bubyee..