Zoom Meeting Update: ANOTHER WINNING DAY!

With nothing in the “news” of any significance that could affect the market being released today we looked at the charts.
Over the past few weeks Vahid has spoken a lot about support and resistance lines. Today was no exception. He made some examples of these on the S&P 500 which I have attempted to duplicate below. I suggest you take a picture of the chart below on your phone while reading on another device, so you can better understand as I refer to it often below.

HOW DO WE “READ” AND “USE” SUPPORT AND RESISTANCE LINES IN TRADING?

These support (upper) and resistance lines (lower) are a fundamental part of the trading strategy and in order to move forward, we need to pay attention to this basic premise. This is where certain levels are either resisting an attempt by bulls to push higher through a bear line, or conversely a bears trying to push prices lower through a support line.

In the chart below, I have included support and resistance lines to show the scenario:

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During the early hours in global markets before the US market opened, you can see GREEN resistance line A and RED Support line B are beginning to converge (getting narrower) Often this will be indicative of either a break to the upside or the downside. Sure enough this happened to the downside after numerous tests of the RED support line B.

The reason these lines are important is in order for us to be able to project a break out either above or below the support and resistance lines. To do this more effectively we need to test support and resistance with a confirmation candle . Often support or resistance lines will at first appear broken but will then push back. This is why we need a further candle in day trading to confirm the break.

As we can clearly see, green GREEN resistance line A showed strong resistance by the bears. We did see is broken by the bulls at one point but this failed and the bears took back control again pushing the price all the way down to the B support line where the following red candle broke through and the following candle confirmed the break was real.

The bears were not allowing the price to move up to break the GREEN resistance line A. Similarly we see that RED resistance line A was also being respected despite numerous attempts to break it by the bears. The Bulls held firm until eventually, RED B support line was broken by the bears. This is where you see the upper arrow. The next candle is the confirmation. It would have been possible to take a sell position here as the price did eventually dip and returned around 2%.

The market dipped lower until finding the WHITE C support line. We then saw the RED B support line act a “resistance” line . RED B line (now acting as resistance) was now being tested by the bulls (as we can see with the lower arrow) but continued to hold twice by the bears eventually pushing back down to below the C support line. As we then can see this was a failed attempt by the bears to also break the White Support line C. Then the indicator we referred to yesterday the RSI confirmed the likely move higher.

As we discussed yesterday we had further confirmation of a likely bull run starting around the White support line C. The RSI indicator clearly shows an upward trending marking (green line at the bottom) , while the White c support line is showing a downward trending market. This is called “bullish divergence” and another signal the market is due for a reversal to higher prices in the short term. I suspect Vahid may cover RSI in future sessions, but I know he wants to keep things as simple as possible; however confirmation indicators like this will add to our confidence taking a position when eventually we may all be on our own.

When the market opened up we saw an attempt to break the Green A resistance line succeed and we took a long position which took our profit for the day of 2%.

We ended the day with a nice 2% banked profit and thanks to the lesson on support and resistance we took the right trade, at the right time today, and 15 minutes later we closed out.

There was no Q and A session today as Vahid had appointments. We agreed to meet up again as usual on Monday.

Have a great weekend everyone and see you all on Monday 🙂

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Vahid Chaychi
Reply to  Andy Hurrell
1 month ago

Andy, What you do for the community is priceless. I don’t know how to thank you.

Sandra Riyano
Reply to  Vahid Chaychi
1 month ago

How about giving him 10 million points Vahid

Vahid Chaychi
Reply to  Sandra Riyano
1 month ago

He deserves it 🙂
And, you have a big and kind heart Sandra❤️🌺🌹

Sandra Riyano
Reply to  Vahid Chaychi
1 month ago

Thank you Vahid, your heart is the biggest l have ever seen on the internet.

Vahid Chaychi
Reply to  Sandra Riyano
1 month ago

Thank you Sandra❤️🌺🌹

Sandra Riyano
Reply to  Andy Hurrell
1 month ago

I am glad you like it,maybe l should star campaign…10 million points for Andy

Eloise Taylor
1 month ago

Vahid, I enjoy the trading session this morning. I like the way you handle the point on the butterfly.
Trading is a art. thanks so much Vahid.

Hillary Ogana
1 month ago

We can say Vahid is a veteran trader.

Hillary Ogana
1 month ago

I like your dedication in this group.

Oyekanmi Popoola
1 month ago

Mr Vahid Chaychi is the supportive breakthrough line on a financial stability point in the Luckscout community.

Myriam Pierre
1 month ago

This is very useful to us.And you do not get this type of advice and guidance from those trading gurus,and those claiming that they know the exact trade signals to send out to traders so they’ll be very ready and will win trades smoothly. I have a way to go before I start trading with LuckScout,but this is like an instruction manual.Thank you for this.

Jean-joyce Goedsir
1 month ago

Thanks Andy for the informative explanation on surport and resistance really appreciate your contribution .. just like to add a point, in Forex trading I usually ditermined surport with 2 candles too the left and two candles too the right and that verified surport structure. And vice versa with resistance,however this is ony one of rules that I use to draw support and resistance specially on 1 hr timeframe..
Thanks jean

Mulugeta Solomon
1 month ago

Dear Andy, at most I am so pleased to appreciate you for what you are doing to the community. I am hoping that many of us to follow it. This is a real model and vision of Mr Vahid. Everyday at this community is getting better.

I have read your writing article review related to the day trading strategy. Honestly, It was well-established and also well emphasis on the potential factors for day trading strategy. To identify and understand both of them are so essential because they are the key factors for day trading. You did explain them clearly how to read and use them at every trading session meant the support and resistance lines to project the prices.

The article was its body and conclusion was awesome, and it is very easy for understanding.

You are well doing as a primary one to inspire everyone to the community. Just for recall, this kind of performance is well known as model and vision by Mr Vahid.

Thank you very much Andy and also for the music clip to come, even behalf of our friends, all members of LuckScout Community

Zalo Hajdarasi
1 month ago

Welldone mate .. we do appreciate you

Eric Anim Boateng
1 month ago

Andy, thank you very much, you are really learning, knowing the Trading terms and understanding the strategies employed by our teacher and trainer Vahid. This is going to motivate all of us to learn fast, as Trading is new to most of us, you have shown us the way. Thank you and congratulations, Vahid, your effort is yielding results.

Joshua Chan
1 month ago

Another great articles for us Andy and Vahid..
This is what we are waiting for…a preciouse lesson and simple explanation after the Zoom meeting hour…So the people who not yet eligible to join the meeting could learn together..A simple method about Support and Resistance line is enough to make us a consistently and profitable trader…if we use it religiuosly..thank you so much

Adrian Rukundo
1 month ago

Thank you Andy great personality and thank you Mentor/master Vahid too, you guys we got a gift in you, your determination explains it all to us a few in this community. Thank you all let’s keep it moving, together we will always be better.

Mary Pendergest
1 month ago

Fantastic reporting Andy, THANK YOU

Sandra Riyano
1 month ago

Andy l can never thank you enough for what you do for the community. You selflessly avail yourself in all your areas of expertise. I am yet to meet a person such as you,you obviously love what you do wholeheartedly. Thank you for simplifying the trading sessions with your well written reports. I like that you write them in layman’s language and even l who has never traded before can begin to understand. Thank you Vahid for doing this for us. May you both stay blessed

Mercie Salima
1 month ago

Thank you Vahid and Andy for this detailed analysis of the trading events today(Friday).

Ovie Peter
1 month ago

Andy thanks for your article, it gave us the picture and understanding, the real day activities of the great luckscout community. You have shown us that anybody can equally publish an article and earn a good point which will be convert to money at the end of the month. Thanks, Mr Andy and also thanks to our mentor, Mr Vahid.

Jean St jean
1 month ago

Thanks for the great information that you are sharing with us the community we
are on the right place

Judy Sovran
1 month ago

Andy you write with such clarity. I was able to read your article and look at the image you were referring to and make some sense out what Vahid was trying to explain. It is so great to have a written explanation as well as the visual we get with Vahid’s zooms and recorded videos. Thanks so much for the effort that you make to put this together. I know that you said that you were doing it for yourself, but we all benefit!!!

Sandra Riyano
Reply to  Judy Sovran
1 month ago

You are spot on Judy

Alex Amakom
1 month ago

Thanks Andy for this report. Clearly patience is needed for the market to play out the direction of the indicators. Sometimes one is tempted to take a position when the candle stick hasn’t closed.We learn everyday, thanks to Vahid.

Eloise Taylor
1 month ago

Vahid, l understand you are saying the support and resistance lines keep the project contain.of it ,so the lower line is call support, upper line is resistant.if you
are a trader,you know what you are doing,you can make money if you enter in a trade,wait until the market confirm. WE THINK .wait for conformation,l think is
best.Thanks Vahid.

Austin Obaji
1 month ago

Nice read…please can anyone help me with the recordings previous zoom meeting.

Thanks

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