#3: Support And Resistance Levels Are Zones

A support or resistance level is not just a line drawn on the chart highlighting one specific price level.

Support and resistance levels must be considered as jones.

Why?

Well, have you ever been in a situation where price just comes down to a support level and but not really touching it and then shoots up?

Chances are, the area where price shot up was a support zone…price could have shot up anywhere withing that support zone.

Just because you were focused on one price level, you missed this trade.

Support and resistance level zones can vary from a few pips up to 100 pips and that really depends on the timeframe you are seeing it in.

For larger timefrme, there will be a quite a huge range for this support/resistance zone.