This is going to be the second post on Support/Resistance Zones. Click here to read about the difference between looking at Support/Resistance levels as Lines or as Zones.
In this post I am going to talk about how I use 2 simple techniques to stay ahead of the pack when I trade the markets.
1. Using Equidistant Channels to mark slanting Support/Resistance Zones
2. Using Rectangle Tool to demarcate Horizontal Support/Resistance Zones
It's a very simple technique. But it gives you a powerful visual signature on what's going on this specific trading instrument at the moment.
This is how you can use this technique only if you love to trade in a range bound trading environment.
If you're a Breakout Trader, you can use rectangles to demarcate sideways price action & make your entry after the breakout.
And this is how I use both of these simple techniques together to stay ahead of the pack when I'm trading the markets.
Start using them from today itself. And don't forget to comment your experiences, views & feedback.
Good Hunting to you!
Sachith Sumanathilake
