Hey hey: what's up my friend, so in today's training you will discover how to tell when support and resistance will break, so you don't get caught on the wrong side of the move. Here's the thing right! Imagine if you know that the support right is about to give way about the breakdown right. What you'll do is that you'll stop buying into support right and to those traders who are not informed right. They will buy support and then get caught on the wrong side of the move right and then get stopped out of their trade.

And if you are good at this right, you can even take one a step further right. If you know that support is going to break, you can even sell the breakdown and profit from it, while other traders get stopped out. So i'm going to cover you know uh how to tell when support and resistance will break in today's training. So let's get started so first thing to look for is what i call a sign of strength.

This tells you that resistance is about to break and you don't want to be selling resistance. So let me explain so. Let's say you know, you know what is a resistance right, i suppose, okay, so this is an area where potential you know, selling pressure could come in and you know to show the market resistance and you notice, let's say a series of higher lows into it, like This okay, some of you might say this, is an ascending triangle and you're exactly right. So why is this significant right? Let me explain so when you notice a series of higher lows into resistance.

This tells you that the buyers they are willing to buy at this higher prices. Okay, so this results right in a series of higher lows over here, and why are these buyers willing to buy at this higher higher prices? Well, the only reason that i can think of is that they are bullish. They expect the price to break out. That's why they're willing to buy at these higher prices, so whenever you see a series of higher lows into resistance, this is a sign right that this market is likely to break out higher okay, not always, but more often than not, it tends to break out higher And likewise, on the opposite, end of the spectrum is what we call a sign of weakness.

This is when you notice a series of lower highs into support. This tells you that this market is likely to break down lower right. You can see that the sellers they're willing to sell at this lower prices, lower prices, lower prices, lower prices, lower prices and also i want you to look at it this way right. If you look at the buying pressure from the buyers, you'll notice, it's getting weaker and weaker, the subsequent rarely gets weaker and weaker.

So this is why you notice that the move right from the buyers, the initial up move - is pretty much from here to here. Subsequent moves, get you know, lesser and lesser right. They kind of they can't push the market any higher. They can't even re-test the previous swing high.

He only managed to know rarely this much. Then it gets even lesser over here and then even lesser over here and then finally, it is likely to break down okay, so this is a sign of weakness. So let me walk you through a few examples, so you know what to look for first thing. First right, this is a chart of uh bitcoin, so over here we have this sign of strength over here right, a series of higher lows coming into resistance.

This is a sign of strength telling you. The buyers are willing to buy at this higher prices. So in this case uh, obviously a cherry-picked chart right. This market did break out higher.

So, let's look at another one right: a currency market dollar against the chinese u.n same concept. This is the area of resistance, a series of higher lows coming into it, a sign of strength right, which led to this market to break out re-test and then followed by the breakout higher look at dollar against the african rain. This one here we have a couple of examples. You notice here a series of lower highs, lower highs, lower high lower high into support.

What's likely to happen, this market is likely to break down, so you can see that over here all right market did break down before it rallies up higher. So you can see that you might not be able to profit from this down move because the move is okay, it's quite a bit here on the daily time frame. But before that i mean, after that, you notice that the reversal is equally strong towards the opposite direction, but what's more important is that at least right it will keep you on the right side of the market. You will stop looking for buying opportunities here, as you notice right.

This uh sellers are getting stronger right, as the price makes a series of lower highs, so you try to avoid buying right. As you know, the selling pressure is now strong and likely to break down towards the downside so another one here over here as well. You can see over here again a series of lower highs into support. This is a sign of weakness.

This should tell you that you know you want to stop buying it support! Okay, if you can't profit from the breakdown, it's okay never mind, but at least right you're not losing money unnecessarily by buying support, which is you know, likely to break down, and one more thing to highlight is that you know sometimes in the real world of trading. The charts right may not be as clean as what i'm sharing over here, so you can see over here. At this point, some of you might, for example, you see this series of lower highs over here. Okay, you might see that this is actually a breakdown that has occurred over here as the price break below support.

Then it rarely back up higher before it breaks down once again, so you can see that over here might be a false breakdown. Then it rarely and then comes down back lower again. So again, this is the real world of trading, and this can happen right. Price may break down to a false break one or one or two times before the real move occurs.

So i'm not gon na. You know, let you assume right or make you think that you know in the real world of trading. Everything is very clean and clear. You know breakout means breakout right things.

Will you know, move immediately in your direction? No sometimes it could do a multiple false break before the real breakout occurs. So bear this in mind: okay and one more example to share with you. So you kind of understand where i'm coming from this one here, dollar against the indian rupee, a series of lower highs into support, rising, lower high lower high lower high. Then this is the area of support price break below it right.

We have a follow through before a re-test, now, okay, a re-test of previous uh support that could become resistance. Okay. So these are a few examples to share with you and to let you know right what to look for right, uh to give, or rather to know ahead of time when support or resistance will break okay. So this is the first thing to share with you a sign of weakness, sign of strength.

The other thing that i want you to pay attention to is the higher time frame trend. So this is actually quite common sense, but many traders they just kind of missed this one out. So i want to explain this to you as well. So here's the thing right.

Sometimes, when you spot, let's say, support and resistance on your chart and you let's say you: don't have the sign of strength, sign of weakness, uh, price action that you've seen earlier, there's no series of higher highs and higher lows. I mean there's no higher lows into resistance or there's no lower highs into support. Then, how do you know which direction the price will break up? Will support breakdown or will resistance, or will the price break out of resistance? So this is where you want to pay attention to the higher time frame trend, because it will give you clue to where the market is likely to break out of right. So, for example, let me just give you a quick example, or rather give you a few examples.

Okay, so look at this chart over here right. This is amd. So let's say at this point in time: right, i'm just going to zoom in clearer. You might be wondering right, hey rainer the market here isn't in range man, you know: do you think the market is going to break out higher or going to break out lower? So here's the thing right based on looking just plainly at this chart.

I will tell you straight in the face. I do not know right. I would only make a squat guess or assumption if i can see where the market is right in the grand scheme of things in a big picture. So what you can do is either you zoom out your charts or you go up to a higher time frame like the weekly time frame.

So i'm just going to zoom out my charts right and see where i am in the grand scheme of things and, as you can see over here, this market is in a uptrend a long term upfront. So if you ask me, if you ask me to place a bet right, where do i think the market will go? I would say this market is likely to break out of resistance over here, because the market is still in an uptrend simple, as it is right. Just look at what the overall market is doing. What the? What is the higher time frame trend doing right, simple! You can even go up to the weekly timeframe if you wish to.

If i go up to weekly timeframe, you can see over here right. Weekly timeframe is also in a uptrend. This is what i'm trying to bring across. So let me share with you another example.

Let's say cmg over here right. This is uh at this point. It's currently trading around 1 250 chipotle mexican grill. At this point in time, where you're asking me hey ray, is the market going to break down, break below support or break above resistance again in this chart? I won't know, but if i look at the big picture, the higher time frame trend, i can just zoom out my charts.

I can see that this market is in a long term. Uptrend chances are this market is going to break out higher simple right. There's no rocket science over here. It's just common sense, all right and you know paying attention to what the charts are telling you so one.

Last final example over here right. If you look at this chart, i zoom in really closely oh well. This is uh not see very closely, but you can see that this market seems to be in the range between these highs and this lows: okay, or maybe even this lows - hey rainer, will the market break out higher or lower? Well, zoom out your chance to look at the higher time frame. You see that this market is in a long-term uptrend, there's a good chance.

It will break out higher. So so here's the thing right so there's no guarantee when it comes to trading right. I can't say that no, when you see a series of higher lows into resistance, oh man, it's gon na break out higher for sure mortgage. Your health, you know, sell your wild seller, kids, whatever.

No, i'm not saying that. What i'm saying is that there is a good chance right, a more than 50 chance, that the price could break up higher, but there's also a probability that it won't play out. The way you expect it to be, maybe it could break down lower, even though you form a uh ascending triangle. It could still break down lower.

This is very much possible and i've seen it over and over again, but what i'm trying to bring across here in this video is for you to take the concepts that i shared with you right and watch the markets right, using what you've just learned and see Whether is it true or not right, because if it's true right, if you know that the let's say, for example, support is likely to break down because you notice a series of lower highs into support, then you stop buying into support and that would reduce unnecessary losses. Okay and that will improve your overall bottom line, so super quick recap to what you've learned today. Number one higher lows into resistance is a sign of strength. Lower highs into support is a sign of weakness that the market is likely to break down lower.

And finally, if you don't know whether the price is about to you know, break out of resistance or below support. Just look at the higher time frame trend, just zoom out your charts and by the way, if you have enjoyed this training and you'll, learn more about support resistance. Candlestick patterns, price action trading then over here is a copy of price action trading secrets. A book that i've just written written recently, if you want to get a copy right, you can just go down to my website over here price action trading, secrets.com over here, just scroll down over here and i'll uh.

Send you a copy? Okay, you just pay simply uh uh, the shipping and printing fee right and i'll ship this physical book right to wherever you may be in the world over here right and by the way. This is 140 page color trading book. You can see it's color over here. Yep, so we talk about you, know: price action, trading, candlestick pattern, support resistance trend, reversals breakout and so much more right trading strategies that you can use right to trade, the market as well so over here the link is i'll, put it below this video or you Can just type in into your browser at price actiontradingsecrets.com, alright! So with that's it, i wish you good luck and good trading.

I will talk to you soon.