#2: Each Timeframe Has Its Own Support And Resistance Levels

Each timeframe has its own support and resistance levels.

Larger timeframes cover up the smaller support and resistance levels found in much smaller timeframes.

Here is an example of what I’m talking about showing obvious support and resistance levels in the daily timeframe on EURJPY chart:

Now, this chart below is the same chart of above but in the 4hr timeframe and notice that in the 4hr timeframe, you also have 4hr timeframe support and resistance levels:

When you are trading support and resistance levels in the smaller timeframes, you should also be aware of how far away price is to the major support and resistance levels found in the larger timeframes.

Why?

Support and resistance levels in larger timeframes are major trend changers!

That’s why!