The support and resistance (S/R) price action strategy is a trading method mostly based on price action and its behavior at key levels, which are principally the main horizontal and diagonal S/R zones.

Horizontal zones are confirmed by areas of accumulation or tight ranging, which I also call “decision zones,” where buyers and sellers enter a relationship of relative balance. Diagonal zones are determined by trendlines. Another set of horizontal S/R zones is defined with Fibonacci retracement and extension levels.

I analyze the price action of a currency pair by observing the particular candle patterns at those levels and around the decision zones and by paying attention to the successive cycles ...

Get The Forex Edge: Uncover the Secret Scams and Tricks to Profit in the World's Largest Financial Market now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.